Comprehensive Marketing Concepts: Segmentation, Strategies, and Life Cycle

Marketing

The process of creating, communicating, delivering, and exchanging offerings that have value for customers and society.

Positioning

How a brand or product is perceived in consumers' minds compared to competitors; creating a unique identity (e.g., Volvo = safety).

Quantitative Research

Numerical, measurable data like surveys, analytics, and statistics.

Qualitative Research

Descriptive, opinion-based data like interviews, focus groups, or observations.

Primary Research

Data collected firsthand by the company, such as surveys or experiments.

Secondary Research

Data gathered from existing sources, like industry reports or government data.

Interpretivism

A research philosophy focused on understanding human behavior and meaning (qualitative).

Positivism

A research philosophy focused on facts, measurement, and scientific methods (quantitative).

Undifferentiated Marketing

One marketing mix for everyone; mass marketing.

Differentiated Marketing

Different marketing mixes for multiple segments (e.g., Nike targeting athletes and casual wearers separately).

Concentrated Marketing

Focus on one niche market (e.g., luxury or specialty brands).

Targeted Marketing

Focusing marketing efforts on a specific, best-fit audience.

Demographic Segmentation

Dividing the market by age, gender, income, education, etc.

Psychographic Segmentation

Dividing the market by lifestyle, values, or personality.

Behavioral Segmentation

Dividing the market by behavior—loyalty, usage rate, or buying habits.

Benefit Segmentation

Grouping customers based on the benefits they seek (e.g., whitening toothpaste vs. cavity protection).

Purchasing Segmentation

Based on how often or how customers make purchases.

Geographic Segmentation

Dividing the market by location, climate, or region.

Ethnocentric Marketing

Uses home-country mindset; exports the same strategy globally.

Polycentric Marketing

Adapts marketing strategy for each country or market.

Geocentric Marketing

Blends global and local strategies; global mindset.

BCG Matrix - Stars

High market share + high growth; need investment but lead the market.

BCG Matrix - Cash Cows

High market share + low growth; strong profits, stable products.

BCG Matrix - Dogs

Low market share + low growth; may need discontinuation.

BCG Matrix - Question Marks

Low market share + high growth; potential but uncertain products.

Four P's of Marketing

Product, Price, Place, Promotion.

Product (4 P's)

What you sell—features, design, brand, quality.

Price (4 P's)

How much you charge—pricing strategy and discounts.

Place (4 P's)

Where/how the product is sold—distribution channels.

Promotion (4 P's)

How you communicate the product—advertising, PR, social media.

SWOT Analysis

Tool for identifying Strengths, Weaknesses, Opportunities, and Threats.

Product Differentiation

Making a product stand out through design, quality, or branding.

Channel Marketing

Promoting products through distribution channels like retailers or online stores.

Supply Chain

Network of suppliers, manufacturers, and retailers delivering value to customers.

Value Delivery Network

All partners working together to create customer value.

Hybrid Marketing System

Using multiple channels to reach customers (e.g., store + online + Amazon).

Product Development Stage 1

Idea generation.

Product Development Stage 2

Idea screening.

Product Development Stage 3

Concept development and testing.

Product Development Stage 4

Business analysis.

Product Development Stage 5

Product development (prototype creation).

Product Development Stage 6

Market testing.

Product Development Stage 7

Commercialization (product launch).

Product Life Cycle - Introduction

New product; low sales, high marketing costs.

Product Life Cycle - Growth

Sales rise quickly; competitors enter the market.

Product Life Cycle - Maturity

Sales peak; competition increases, profit stabilizes.

Product Life Cycle - Decline

Sales drop; product may be phased out.

Planned Obsolescence

Designing products to wear out or become outdated quickly.

Marketing Ethics

Ensuring honesty, fairness, and responsibility in marketing practices.

Leadership in Marketing

Guiding creativity, innovation, and brand direction (e.g., Steve Jobs at Apple).

Viral Marketing

When content spreads organically through social sharing; low-cost visibility.

Diffusion of Innovation Theory

Explains how new products spread through society.

Innovators (Diffusion)

First 2.5% to adopt; risk-takers and trendsetters.

Early Adopters (Diffusion)

Next 13.5%; opinion leaders who influence others.

Early Majority (Diffusion)

34%; adopt after seeing success.

Late Majority (Diffusion)

34%; skeptical, adopt later once product is common.

Laggards (Diffusion)

16%; last to adopt, resistant to change.