Timothy Vincent 15.D2.

0001
Elisabeth Metta 15.D2.0012
Identifying Market Fanny Freshinaya 15.D2.0017
Joshua Steven 15.D2.0015
Segments and Targets
 Target Marketing Requirements
1. Identify and profile distinct groupsof
buyers (market segmentation).

2. Select one or more market segmentsto

enter (market targeting).

3. For each, establish and communicate

benefits of offering (marketpositioning).
Bases for Segmenting Consumers

Geographic

Demographic

Psychographic Behavioral
Geographic Segmentation

Geoclustering
Demographic Segmentation

Age and Life-cycle Stage

Life Stage
Gender
Income
Generation
Race and Culture
Age and Life-Cycle Stage
Life Stage

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Gender
Women:
Influence 80% of consumer purchases
Make 75% of new home decisions
Purchase 60% of cars

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Income

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Generation

Gen X(1964-1978)
Baby Boomers (1946-1964)
Silent Generation (1925-1945)

Millennials (Gen Y) –(1979-1994)

-78 Million people
-$187 annual spending power

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Race and Culture

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Multicultural Market Profile

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Psychographic Segmentation

• Personality traits
• Lifestyle
• Values

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 VALSSegmentation System

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Behavioral Segmentation
Usage occasions
Initiator
User status
User Influencer
Usage rate

Buyer-
Buyer Decider readiness

Decision Roles Loyalty status

User and Usage

Needs and Benefits

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 Brand Funnel

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Consumer Attitudes

Enthusiastic Positive Indifferent Negative Hostile

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 Behavioral Segmentation

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Bases for Segmenting B2B Markets

Demographic Industry, company size, location

Operating Variables Technology, user status, customer capabilities

Purchasing Approach Power structure, nature of existingrelationship

Situational Factors Urgency, specific application, size of order

Personal Characteristics Buyer-seller similarity, loyalty, risk attitude

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Market Targeting

Effective Segmentation Criteria

Measurable
Substantial
Accessible
Differentiable
Actionable

Copyright © 2012 Pearson Education, Inc. Publishing as PrenticeHall Slide 20 of 26

 Market Targeting
Porter’s Five Force
Substitute Buyer
Products Power

Supplier
New Power
Entrants
Rivals
Evaluating and Selecting Segments

Multiple segment
specialization

Full market coverage

Single-segment Individual marketing

concentration
Levels of Segmentation