Market Segmentation, Targeting and Positioning Flashcards

Vocabulary flashcards based on lecture notes covering market segmentation, targeting, and positioning strategies.

Market Segmentation

Dividing a market into distinct groups with distinct needs, characteristics, or behavior who might require separate products or marketing mixes.

Demographic Segmentation

Segmentation based on variables such as age, gender, family size, income, occupation, education, religion, race, generation, and nationality.

Psychographic Segmentation

Segmentation based on social class, lifestyle, or personality characteristics.

Behavioral Segmentation

Segmentation based on consumer knowledge, attitude, use, or response to a product.

Geographic Segmentation

Dividing the market into different geographical units such as nations, regions, states, counties, cities, or even neighborhoods.

Age and Life Cycle Segmentation

Dividing a market into different age and life cycle groups.

Gender Segmentation

Dividing a market into different groups based on gender.

Occasion Segmentation

Dividing the market into groups according to occasions when buyers get the idea to buy, make their purchase, or use the purchased item.

Benefit Segmentation

Grouping buyers according to the different benefits that they seek from the product.

User Status Segmentation

Segmenting markets into groups of non-users, ex-users, potential users, first-time users, and regular users of a product.

Usage Rate Segmentation

Segmenting markets into light, medium, and heavy product users.

Loyalty Status Segmentation

Segmenting a market by consumer loyalty to brands, stores, and companies.

Measurable Segmentation

The size, purchasing power, and profiles of the segments can be measured.

Accessible Segmentation

The market segments can be effectively reached and served.

Substantial Segmentation

The market segments are large or profitable enough to serve.

Differentiable Segmentation

The segments are conceptually distinguishable and respond differently to different marketing mix elements and programs.

Actionable Segmentation

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

Target Market

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

Undifferentiated (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.

Differentiated (Segmented) Marketing

A market-coverage strategy in which a firm decides to target several market segments and designs separate offers for each.

Concentrated (Niche) Marketing

A market-coverage strategy in which a firm goes after a large share of one or a few segments or niches.

Micromarketing

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.

Product Position

The way the product is defined by consumers on important attributes-- the place the product occupies in consumers' minds relative to competing products.

Perceptual Positioning Maps

Shows consumer perceptions of their brands versus competing products on important buying dimensions.

Unique Selling Proposition (USP)

Developing a unique selling proposition for each brand and sticking to it.

More for More

Providing the most upscale product or service and charging a higher price to cover the higher costs.

More for the Same

Offering comparable quality but at a lower price than competitors.

The Same for Less

Offering many of the same brands as department stores and specialty stores but at deep discounts based on superior purchasing power and lower-cost operations.

Less for Much Less

Meeting consumer’s lower performance or quality requirements at a much lower price.

More for Less

Offering more features, more product, more value, for a really low price.

Position Statement

A statement that summarizes company or brand positioning.

Geographic Segmentation (International)

Dividing the international market based on location or region.

Economic Factors Segmentation (International)

Dividing the international market based on population income or level of economic development.

Political and Legal Factors Segmentation (International)

Dividing the international market based on type/stability of government, monetary regulations, amount of bureaucracy, etc.

Cultural Factors Segmentation (International)

Dividing the international market based on language, religion, values, attitudes, customs, behavioral patterns.

Repositioning

The process of changing the product position.

Integrity and Fairness Principle

The importance of meeting the expectations of customers and the public is by exhibiting high ethical conduct in all their transactions

Global Understanding through Business Principle

Expand business, based on an all-encompassing global perspective

Corporate Responsibility to Society

In order for a corporation to create sustainable prosperity, it is essential that it operates in a manner that is conducive to achieving this goal for the greater society

Mitsubishi Demographic

Aims towards a diverse audience that is “young at heart”

Mitsubishi Psychographic Lifestyle

Different cars that cater a person lifestyle

Mitsubishi Geographic Segmentation

Dividing the international market based on Geographic

Demographic Segmentation (Business Markets)

Industry, Company Size, Location

Operating Variables (Business Markets)

Technology, usage status, customer capabilities

Situational Factors (Business Markets)

Urgency, specific application, size of order

Personal Characteristics (Business Markets)

Buyer-seller similarity, attitudes toward risk, loyalty

Product Variability

product variability affects whether to use undifferentiated, differentiated, or concentrated marketing

Knowledge Segmentation

Dividing the market into different groups based on consumer knowledge

Attitude Segmentation

Dividing the market into different groups based attitude

Use Segmentation

Dividing the market into different groups based use

Response to a Product Segmentation

Dividing the market into different groups based response to a product

Needs segmentation

Dividing the market into different groups based on needs

Characteristics Segmentation

Dividing the market into different groups based on common customer characteristics

Gender Identity Segmentation

Dividing the market based on gender identity

Sexual Orientation Segmentation

Dividing the market based on sexual orientation

Gender Expression Segmentation

The market focuses on gender expression.

Generation segmentation

dividing a market into different groups based generation

Generation

A group of people born during the same time period and share similar experiences

Nationality SEGMENTATION

dividing a market into different groups based nationality

Nationality

Country of citizenship

Social Class Segmentation

dividing a market into different groups based social class

Social Class

a group of people with similar levels of wealth, education, and occupation

personality Segmentation

diving a market into different groups based personality

personality

set of traits, characteristics, and behaviors that make a person unique

Race Segmentation

A group of people who share common ancestry, language, religion, customs, or traditions.

Race

Refers to an individual's sense of belonging to a particular racial group.

Religion Segmentation

A group of people who share a common set of beliefs and practices.

Religion

A set of beliefs and practices that are generally held by a group of people, involving worship, values, and moral principles.

Family Size Segmentation

Dividing the market based on household size

Family Size

Total number of people living in a household

Family Life Cycle Segmentation

Dividing the market based on family life cycle stage.

Family Life Cycle

series of stages that a family goes through over time

Income Segmentation

Dividing the market based on customer income level

income

Amount of money a customer earns

Occupation Segmentation

Dividing the market based on job or career

Occupation

An individual's main job or profession

Education Segmentation

Dividing the market based on customer education level

Education

Level of formal schooling a customer has completed

customers' tastes Segmentation (International)

Dividing the international market based on customers' tastes.

Competitor Segmentation Segmentation (International)

Dividing the international market based on competitor’s segmentation approaches

Being Classy and conservative

If you are trying to build an image on being classy and conservative

Mitsubishi Psychographic Lifestyles

Different cars for different styles

Appropriate for geography

Different versions appropriate for geography

Tailroing marketing programs

Tailoring product and marketing programs

Design marketing

Products that varies in design is affected by Differentiated or concentrated marketing

Differentiated marketing

different products to one or more segments leads into Differentiated marketing

Product Marking

same product to all consumers leads into Undifferentiated (mass marketing

Consumers Undifferentiated

same amount of consumers leads into Undifferentiated.

New product

A new product leads to differentiated or concentrated marketing

attributes

the way the product is defined by consumers is considered important attributes

When buyer buys

Dividing the market into groups based on when they get the idea to buy.

Volvo

Mitsubishi is moving towards to volvo marketing

communicate

the company must take strong steps to deliver and communicate the desired position to target consumers.

consumers Products minds

the product is defined by consumer mind

image

Product differentiation, service, people image.

consumption

a heavy percentage of the market account high consumption

higher costs Products

product must offer the most upscale product to achieve a higher costs.

consumers common need

focuses on what is common in the needs of consumers rather than on what is different.