Chapter 9 - Segmentation, Targeting, and Positioning Flashcards Preview

Marketing Dynamics in the 21st Century > Chapter 9 - Segmentation, Targeting, and Positioning > Flashcards

Flashcards in Chapter 9 - Segmentation, Targeting, and Positioning Deck (14):

Undifferentiated Targeting Strategy

Focuses on similarities in needs of customers as opposed to differences


What is Geodemographic segmentation?

A combination of geographic, demographic, and lifestyle characteristics


(Segment size x Adoption percentage x purchase behavior x profit margin percentage) - Fixed costs =

Segment profitability


When Selecting a Target Market, which 2 assessments are made?

SWOT on attractiveness of the target market

SWOT on own competencies


Targeting Strategies Include

Undifferentiated or mass marketing
Micro marketing or one on one


What are the benefits of Differentiated Targeting Strategy

1. Helps obtain bigger share of market and increases market for products overall

2. Helps diversify the business, which lowers risk


This Targeting Strategy focuses all of its resources on one segment of the market

Concentrated Targeting Strategy

Entrepreneurial start ups benefit from this strategy because it allows them to employ their limited resources more effectively


When a firm tailors its product down to an individuals wants and needs, this is called a ______ Strategy



What does a Value proposition communicate?

It communicates the customer benefit to be received from a product, thereby providing reasons for wanting to purchase it


7 Components used in determining the value proposition

1. The firms value proposition
2. Consumers unmet needs (marketing opportunity)
3. Firms benefits that are not required
-Educate customer or redesign product
4. Key Benefits that both the firm and competitor provide that customers require
-Carefully monitor performance compared to competitor on this point
5. Competitors value proposition
-Monitor and imitate if needed
6. Benefits Both Firms provide that customers do not appear to need
7. Competitor benefits that are not required


Target Marketing,
Offering name or brand,
Product category or concept,
unique points of difference and benefits

are all components of _____

Value Proposition


4 Methods for Positioning

1. Value Proposition
2. Salient Attributes
3. Symbols
4. Competition


What is perceptual mapping used for?

It displays, in 2 or more dimensions, the positions of the products or brands in the consumers mind


What are the 6 Steps to deriving a perceptual map

The first 3 are ongoing

1. Determine consumers perceptions and evaluations of the product or service in relation to its competitors.
-Asks consumers about competitors
2. Identify the market's ideal points and size
3. Identify competitors positions
4. Determine consumer preferences
5. Select the position - Potentially develop new product, adjust and reposition its marketing approach, or ignore complications and hope consumers will be attracted to your product
6. Monitor the Positioning Strategy