Transcript Market Segmentation

Market Segmentation
Market Segmentation
Market Segemtation – placing prostive buyers
into groups that have:
1. common needs
2. will respond similarly to a marketing action
Product Differentiation – using different
marketing mix activities to help consumers
perceive the products as being different/better
than the competition
Primary vs. Secondary Target
Markets
Primary – markets segments that matches
all the marketing activities of a product
Secondary – market segments that
matches some of the marketing activates
of the product
Market Product Grid
• framework to relate the market segments
of potential buyers to products offered or
potential marketing activities by the firm
Example
Examples of Market Segmentation
• magazines will use different covers based
on region
• Different styles of shoes target different
types of users
New Trends
Customer Relationship Management
(CMR) – used to satisfy each customers’
unique needs and wants
– next step a beyond Build to Order
CMR vs. Synergies
Synergy – increased customer value
achieved through performing
organizational functions more efficiently