1. Market Segmentation
Four types of Market segmentation
• 1.Geographic Segmentation----Dividing market into
different geographical units such as nations, cities.
• 2.Demographic Segmentation---Dividing market based on
variable such as age, gender, family size or income.
• 3.Psychographic segmentation---Dividing market based on
social class, lifestyle or personality characteristic.
• 4.Behavioural segmentation--- Dividing market based on
consumer knowledge, attitude, use or response to product.

2. Market Segmentation Strategy of
Octopus Card Company
Generally, use Demographic, and behavioral
segmentation.
Demographic: Based on age.
4 types:
Child
Adult
Elder
Personalized(students).

3. Behavioral: Based on the attitude.
Tourists: Sold Tourists Octopus
Collector: Year of the Dragon Octopus
Old Master Q Octopus
Business Companies: Octopus for Corporation
Psychographic: Based on lifestyle, social class
Fashioners: Atelier
Genetics
Workers: Bank Issued Octopus Card

4. Market Targeting---Process of identifying groups
of consumers who are highly likely to purchase a
specific good or service.
Four Approaches
1. Undifferentiated marketing: Ignore market segment and go
after the whole market with one offer
2. Differentiated marketing: Firm decides to target several
market segment and design separate offer for each
3. Concentrated marketing: Firm goes after a large share of
one or a few smaller segment or niches.
4. Micromarketing: Practice of tailoring products and
marketing programs to suit the tastes of specific individual
or locations.(Individual marketing or local marketing)

5. • Use differentiated Marketing:
Target: people ,companies or school/residential
For People:
Provide Earn and Redeem Reward $ in different
type of Companies. E.g Wellcome ,UA cinema,
Arome.
Provide payment method for retail, parking,
leisure facilities or other self-service.
Provide easy reloading: Cash/electronic fund
transfer

6. For companies:
Provide octopus payment services to costumers.
Provide Octopus Reward for customer---build closer
relationship and loyalty with them.
For school/residential:
Adopt access control system--->add convenience for
residents/employee/students.
Schools and companies also benefit from more
operational efficiency and less administrative work.

7. Market Positioning
• An effort to influence consumer perception of
a brand or product relative to the perception
of competing brands or products. Its objective
is to occupy a clear, unique and advantages
position in the consumer’s mind.

8. Octopus Company operate International
business to share the Octopus experience
around the world. (In Netherland , Dubai, New
Zealand)
Octopus company also focus on the caring for
the community. E.g Octopus Kid’s Nurturing
Programme, Octopus volunteers, sponsor many
charity activities.
--->To occupy a clear, unique and advantages
position --->Create value and develop positive
image in customer’s mind.