MARKET SEGMENTATION

market identification

• strategic market approach and process that is intended to define the specific customer of the product

market segmentation

• marketing strategy designed primarily to divide the large market into smaller segments

geographic

• total market is divided according to geographical locations in the Philippines like provincial regions, cities, provinces, municipalities, and even barangay units

• climate, dominant ethnic group, culture, density

demographic

• characterized based on gender, age, income, occupation, education, religion, ethnic group, family size

psychological segmentation

• the market is divided in terms of what the customers think and believe

• based on needs and wants, attitude, social class, personality traits, knowledge and awareness, brand concept, and lifestyle

behavioral segmentation

• based on perception, knowledge, reactions, benefits, loyalty, and responses

market targeting

• targeting is the process of identifying a specific group of consumers to target with a particular product or service

• is a stage in the market identification process that aims to determine the set of buyers with common needs and characteristics

size and growth

• segment size and growth measure how many customers are in each segment and how fast they are increasing or decreasing

structure of the segment

• what is the level of competition in the market

• are there existing and potential substitute product

• who are the present and potential buyers in the segment

individual or one and one marketing

• type of marketing strategy that is a particular need

• 1 market and product to cater

differentiated marketing

• several product = several segments

• same maker will compete with each other in the marker

concentrated marketing

• well defined audience or loyal

• niche marketing, is a strategy where a company focuses on serving a specific customer group

mass or undifferentiated marketing

• does not have to differentiate according to their needs and wants but to cater all of them

• simple commodity can used by all types of customer regardless of behavior

• an example is sugar

market positioning

• process of arranging a product to occupy a clear, distinct and desirable place in relation to other competing products

steps in market positioning

• market position is distinct from others

• evaluates the advantages or benefit for every market position

• decides on the market position

consumer behavior

• simply the reaction of the consumers ton various events of forces that are happening in the business community which contribute to the decision process