MARKETING 2201 CH 6

Market Segmentation

Dividing a market into distinct groups of buyers with different needs, characteristics, or behaviors.

Market Targeting

Evaluating each market segment’s attractiveness and selecting one or more segments to enter.

Geographic Segmentation

Dividing the market into different geographical units, such as nations, regions, or cities.

Behavioral Segmentation

Dividing buyers based on their knowledge, attitudes, uses, or responses to a product.

Intermarket Segmentation

Grouping consumers with similar needs and behaviors across different countries.

Measurable (segmentation requirement)

Refers to the ability to measure size, purchasing power, and profiles of the segments.

Accessible (segmentation requirement)

The segment can be effectively reached and served.

Substantial (segmentation requirement)

Segments must be large or profitable enough to serve.

Differentiable (segmentation requirement)

Segments must be conceptually distinguishable and respond differently to marketing elements.

Actionable (segmentation requirement)

Effective programs can be designed for attracting and serving the segments.

Target Market

A set of buyers sharing common needs or characteristics that a company decides to serve.

Undifferentiated Marketing (Mass Marketing)

Firm targets the whole market with one offer, focusing on common needs.

Differentiated Marketing (Segmented Marketing)

Firm targets several market segments with separate offers for each.

Concentrated Marketing (Niche Marketing)

A strategy focusing on one or a few smaller segments or niches for a larger share.

Micro Marketing

Tailoring products and marketing programs to suit specific individuals or local segments.

Local Marketing

Tailoring brands and promotions to the needs of local customers.

Individual Marketing

Tailoring products and marketing programs to the preferences of individual customers.