Content - subject 2

Module 2 Summary

Overview

• Focus on identifying market opportunities and creating new markets.

• Emphasizes understanding market segmentation and definition.

Key Points from Activities

2.5.2 Milestone 2

• Justifying decisions made in previous activities:

  • Market description and segmentation.

  • Identifying consumer needs and occasions for targeting.

  • Potential new market opportunities.

2.2.2 Defining Your Market

• Importance of accurately defining market.

• Defining limits opportunity pool and influences brand success.

• Example: Juice market competing with other beverages.

2.2.3 Deciding on a Market Definition

• Market definition varies from narrow to broad.

• Consider business ambitions and current positioning.

2.2.4 Language and Labelling

• Market definitions should be inspiring and need-focused.

• Example rephrasing:

  • "soft drinks" to "youth refreshment."

2.3.1 What is Market Segmentation?

• Market segmentation is vital to understand consumer choices.

• Groups are homogeneous within and heterogeneous across.

2.3.2 Types of Market Segmentations

• Common types: demographic, psychographic, occasion-based.

• Each type has advantages and disadvantages influencing targeting.

2.4.0 Identifying Opportunities

• Look for opportunities within current market segments:

  • Analyze demand and value.

  • Understand growth trends and competition.

2.4.1 Identifying Opportunities in Current Market

• Prioritizing opportunities based on size and potential victory.

• Different targeting strategies include:

  • Mass marketing, differentiated, concentrated, and micromarketing.

2.4.2 Creating a New Market

• Use strategies to 'break' or 'bend' the existing market.

• Example: Cirque du Soleil innovating the circus model.

2.5.0 Module Summary

• Highlights the importance of defining the market and segmentation.

• Justification for future milestones based on current understanding.