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    Target Marketing

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    vishesh_2211_1257207
    The document discusses different strategies for targeting markets, including undifferentiated, differentiated, concentrated, and micro marketing. It also covers positioning, differentiation, and examples of each.

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    Target Marketing

    Uploaded by

    vishesh_2211_1257207
    162 views29 pages
    The document discusses different strategies for targeting markets, including undifferentiated, differentiated, concentrated, and micro marketing. It also covers positioning, differentiation, and examples of each.

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    marketing management

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    The document discusses different strategies for targeting markets, including undifferentiated, differentiated, concentrated, and micro marketing. It also covers positioning, differentiation, and examples of each.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    162 views29 pages

    Target Marketing

    Uploaded by

    vishesh_2211_1257207
    The document discusses different strategies for targeting markets, including undifferentiated, differentiated, concentrated, and micro marketing. It also covers positioning, differentiation, and examples of each.

    Copyright:

    Attribution Non-Commercial (BY-NC)
    Download as PPT, PDF, TXT or read online from Scribd
    Download as ppt, pdf, or txt
    You are on page 1of 29

    MARKET TARGETING

    TARGET MARKET
    A target market consists of a set of buyers who share common needs or characteristics that the company decides to serve. It can be carried out at several different levels:

    Undifferentiated Marketing (Mass marketing) Differentiated Marketing (Segmented Marketing) Concentrated Marketing (Niche Marketing) Micro Marketing that includes > Local Marketing > Individual Marketing

    1. Undifferentiated marketing (mass marketing): A market coverage strategy in which a firm decides to ignore market segment differences and go after the whole market with one offer. Focuses on what is common in the needs of customers rather than on what is different.

    2. Differentiated marketing (segmented marketing): a market coverage strategy in which a firm decides to target several market segments and designs separate offers for each. E.g. -Nike shoes- for running, golf, aerobics, cycling and basketball. -P&G- 8 brands of laundry detergents.

    3. Concentrated marketing (niche marketing): Niche marketing involves marketing in a very small but profitable market segment. A niche is a very narrowly defined customer group desiring a distinctive mix of benefits. E.g. shahnaz hussains herbal products.

    4. Micro marketing: the practice of tailoring

    products and marketing programs to the needs and wants of specific individuals and local customer groups. Local marketing-tailoring brands and promotions to the needs and wants of local customer groups-cities, neighborhoods and even specific stores. Individual marketing-tailoring products and marketing programs to the needs and preferences of individual customers. Also called customized marketing.

    Choosing a targeting Strategy depends on many factors like


    Company resources Degree of product variability PLC stage Market conditions Competitors Marketing Strategy

    POSITIONING
    The way the product is defined by customers on important attributes-the place the product occupies in customers minds relative to competing products. It involves implanting the brands unique benefits in customers mind. E.g. Tide-powerful, all purpose family detergent Mercedes- luxury Volvo positioned powerfully on safety Toyota- fuel efficient

    Differentiation and Positioning


    Choosing a differentiation and positioning strategy involves: Identifying a set of possible value differences and competitive advantages on which to build a position. Choosing the right competitive advantages. Selecting an overall positioning strategy.

    Identifying possible value differences and competitive advantages:


    Key to winning target customers is to understand their needs better than competitors do and to deliver more value.

    Competitive advantage:
    Extent to which a company can position itself as providing superior value.
    Achieved via differentiation.

    Choosing the right competitive advantage requires selecting how many and which differences to promote. Differences that could be promoted are:
    Important Distinctive Superior Communicable Preemptive Affordable Profitable

    Generic Product Positions & Value Propositions

    Positioning strategy is chosen after considering the following alternative bases:


    Specific feature or attribute Benefits, problem solution or needs Specific usage, occasions or application Against competitor product Positioning on quality or price

    Positioning Example

    eBays positioning: No matter what it is, you can find it on eBay!

    Positioning Example
    To (target segment and need) our (brand) is a (concept) that (point-of-difference). To busy mobile professionals who need to always be in the loop, Blackberry is a wireless connectivity solution that allows you to stay connected to people and resources while on the go more easily and reliably than the competing technologies.

    DIFFERENTIATION
    Process of creating variations/ differences in your product as compared to those of the competitors. Differentiated products feature meaningful and valuable differences that distinguish the companys offering from the competition. Differences are stronger when they are important, distinctive, superior, preemptive, affordable, and profitable.

    Tools of product differentiation


    Differentiation can be done on the basis of:

    A) TANGIBLE PRODUCT ATTRIBUTES AND FUNCTIONS B) INTANGIBLE CHARACTERISTICS AND EMOTIONAL ELEMENTS

    A) TANGIBLE PRODUCT ATTRIBUTES AND FUNCTIONS 1) DIFFERENTIATION Based on Ingredients/ formula: Maggi says the noodles it offers have calcium content, Foodles and Nutribar from horlics. Close-up was the pioneer in offering toothpaste with gel Vatika hair oil with natural ingredients Colgate with Active salt for better oral care Ariel with active enzymes

    2) DIFFERENTIATION Based on Functional Value: 3M Scotch Tape Of the U.S. is marketed on the basis of the functional benefits/features it has:
    Transparent Disappears when applied Stays invisible and without yellowing Ideal for permanent applications Can be written on Is long lasting

    Roti chef, a chapati maker claims that it is an instant chapati maker, speedier than normal pans, does spreading and roasting much better than normal tawas.

    Microwaves etc.
    CFLs

    3) DIFFERENTIATION Based on Additional features:

    In T.V. sets , BPL, Sony, LG. etc, are coming up with attached speakers to the screen along with large sized flat vision screens. LCDs n LEDs Save your favorite programs Godrejs 400 Lts fridge with inbuilt curd maker VIP suitcases with wheels

    4) DIFFERENTIATION Based on Packaging: >Colgate gel in see through tube >Harpic toilet cleanser with an application friendly nozzle > Act II popcorns 5) DIFFERENTIATION Based on Product design: >Titan watches came up in Classic watch design with a combination of gold and leather; Roayle range with gold and precious metals; Aurum range with gold and colored stones.

    6) DIFFERENTIATION Based on quality/operational efficiency/technology/service


    > Microsoft excels through service- promises to answer 90% of the calls within 60 seconds > Hyundai I-10 with Kappa engine technology

    B) Differentiation based on INTANGIBLE

    CHARACTERISTICS/EMOTIONAL ELEMENTS

    Reid & Taylor- Bond with the best intangible and emotional attributes. Parker pens- Style and prestige elements Raymond's The complete man

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