Ch. 9 Segmentation, Targeting, and Positioning (STP)

These flashcards cover key concepts and definitions related to segmentation, targeting, and positioning (STP) as discussed in the MKTG 300 lecture by Sam Min.

Segmentation

The process of dividing a broad consumer or business market into sub-groups of consumers based on shared characteristics.

Targeting

The selection of specific segments to focus marketing efforts on.

Positioning

The process of creating an image or identity for a product in the minds of the target audience.

Demographic Segmentation

A segmentation strategy that uses observable characteristics such as age, gender, and income.

Behavioral Segmentation

A method of dividing consumers based on their behavior patterns towards products or services.

Attitudinal Variables

Variables that describe the thoughts, feelings, and beliefs of consumers.

Benefit Variables

Factors that describe the benefits sought by consumers, leading to more refined segmentation.

Undifferentiated Targeting Strategy

A marketing strategy that targets the entire market with one offer.

Differentiated Targeting Strategy

A marketing strategy that targets multiple segments with specific offers for each.

Concentrated Targeting Strategy

A marketing strategy that focuses on one niche market.

Micromarketing

A marketing strategy that tailors products and promotions to suit the tastes of specific individuals or locations.

Customer Proposition

A persuasive statement that motivates target customers to take action.

Five-box Positioning Tool

A framework to analyze and articulate the current beliefs and desired beliefs of target customers.

Main Benefit

The primary benefit provided by a product that differentiates it from competitors.

Dynamic Benefit

A benefit that is used by competitors to gain market share from the category leader.

Market Boundary

A defined category that outlines the scope of market segmentation and targeting.

Segmentation Variables

Factors that are utilized to segment the market, including demographics, behaviors, and attitudes.

Identifiable Segment

A market segment that can be clearly defined and identified by a marketer.

Substantial Segment

A market segment that is large enough to warrant a targeted marketing approach.