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-MARKET SEGMENTATION-
TRUNG HIEUTU OANH
YOUNG MARRKETERS
ELITE 2
1. MARKET SEGMENTATION
2. BRAND EQUITY
WHAT IS MARKET SEGMENTATION
MASS MARKETING MARKET SEGMENTATION TARGET MARKETING
is when almost the same product is used
for promotion & distribution for all
customers
is the process of understanding & dividing
the market into distinct groups of
consumers according to their needs,
characteristics or behaviors. It’s also a
compromise between mass marketing &
target marketing.
is a practice to identify and segment the
market & develop products and marketing
mixes for each segment or group of
customers
WHY MARKET SEGMENTATION
STRATEGY OFFERING MARKETING TACTICS
-Target market
-Offering strategy
-Product line
-Associated Service Bundle
-Advertising & other communication
(message & media)
-Distribution -Channels
-Pricing -Sales force allocation
-Promotion
Segmentation has great impact on strategy & tactical development
“understanding why people buy products and services like yours, which of those people you can best satisfy and what you can do to
make your product simply irresistible to them”
WHY MARKET SEGMENTATION
-Segmentation allows firm to better satisfy the needs of its potential customers.
-Segmentation allows us to choose which buyers to target & provides important insights as how to appeal to them.
-Segmentation helps us use resources effectively, gain a focus, create value for target market & position our brand.
A GOOD MARKET SEGMENTATION IS
- Identifiable: the differentiating attributes of the segments must be measurable so that they can be identified
- Accessible: the segments must be reachable through communication and distribution channels
- Substantial: the segments should be sufficiently large to justify the resources required to target them
- Unique needs: to justify separate offerings, the segments must respond differently to the different marketing mixes.
- Durable: the segments should be relatively stable to minimize the cost of frequent changes.
 Good market segmentation will result in segment members that are internally homogenous and externally
heterogeneous; that is, as similar as possible within the segment, and as different as possible between segments
Segmentation should be able to
help an organization rapidly
evaluate new business
opportunities
STRATEGIC
LEVEL
Segmentation should yield
information to help craft successful
marketing offers for specific
prospects
OPERATIONAL
LEVEL
BASES FOR SEGMENTATION
DEMOGRAPHIC GEOGRAPHIC PSYCHOLOGICAL BEHAVIORAL
-Age
-Income
-Marital status
-Gender
-Education
-Family size
-Social status
-Occupation
-Region
-Size of metropolitan
-Population density
-Climate
-Activities
-Interests
-Opinions
-Attitudes
-Values
-Benefits sought
-Usage rate
-Brand loyalty
-User status
-readiness to buy
EXAMPLE: PAINT INDUSTRY
1st
apartment
Moving in
Getting
children
Buying
house
Remodeli
ng project
Summer
cottage
moving
Opportunity Industry
focus
INDUSTRY FOCUS
PRODUCT: technical properties (in/outdoor, surface, water repellant,…)
PRICE: price driven
PLACE: paint retailer
PROMOTION: segment aligned (TV, POSM, magazines,…)
OPPORTUNITY
PRODUCT: relevant added value (non toxic, anti bacteria, eco friendly)
PRICE: premium
PLACE: paint retailer
PROMOTION: segment aligned (children magazine)
EXAMPLE: DOVE
Marketing mix Segments
WOMAN
WOMAN , 50+
SUN
MEN
WHAT IS BRAND EQUITY
FIRM
BRAND 1
BRAND 2
BRAND 3
MARKETING
MARKETING
MARKETING
CONSUMER
BRAND EQUITY is how consumers think, feel, and act
with respect to the brand, as well as the prices, market
share & profitability that the brand commands for the
firm.
It’s important intangible asset that has psychological &
financial value to the firm
CONSUMER-BASED BRAND EQUITY
Consumer-based equity can be defined as the differential effect that brand
knowledge has on consumers’ response to the marketing activities of that brand
Customer-based brand equity occurs when the consumer has a high level of
awareness and familiarity with the brand and holds some strong, favorable, and
unique brand associations in memory.
Brand equity arises from differences in consumers’ response. They are the result
of consumers’ knowledge about the brand in the way they have felt, learnt, seen
& heard. Brand equity are reflected in perceptions, preferences & behaviors
related to all aspects of brand marketing.
BRAND EQUITY ELEMENTS
BRAND EQUITY
Name/symbol
BRAND
LOYALTY
PERCEIVED
QUALITY
BRAND
AWARENESS
BRAND
ASSOCIATION
OTHER BRAND
ASSETS
Provide value to
customers by
enhancing customers’:
• Interpretation/Process
ing of information
• Confidence in the
Purchase decision
• Use satisfaction
Provide value to firm
by enhancing:
• Efficiency &
effectiveness of
marketing programs
• Brand loyalty
• Prices/Margins
• Brand extensions
• Trade leverage
• Competitive
advantage
Brand equity creates value for
both the customer and the
firm.
BRAND EQUITY ELEMENTS: CONTINUE
BRAND LOYALTY
Reflects how likely a customer
will be to switch to another
brand, especially when that
brand makes a change, either
in price or in product features.
• Reduced marketing costs
• Trade leverage
• Attracting new customers
via awareness and
reassurance
• Time to respond to
competitive threats
BRAND AWARENESS
Is the ability of potential buyer
to recognize or recall that
brand in a certain product
category
• Anchor to which other
associations can be
attached
• Familiarity which leads to
liking
• Visibility that helps gain
consideration
• Signal of
substance/commitment
PERCEIVED QUALITY
Perceived quality is a
perception by customers of
the overall quality or
superiority of a product or
service.
• Reason to buy
• Differentiate/ position
• Price premium
• Channel member interest
• Brand extensions
BRAND ASSOCIATIONS
A brand association is
anything “linked” in memory
to a brand.
• Help Process/Retrieve
Information
• Differentiate/Position
• Reason-to-Buy
• Create Positive
Attitudes/Feelings
• Basis for Extensions
OTHER BRAND ASSETS
Such as: patents, trademarks,
channel relationships, etc.
• Competitive advantages
HOW TO MEASURE
The Customer-based brand equity concept does not only show us steps
to get the highest objective of a brand - brand loyalty but also gives
guidance to measure brand by analyzing consumers’ both rational and
emotional responses based on their brand knowledge.
- Indirect approach: assess potential sources
of customer-based brand equity by identifying
and tracking consumers’ brand knowledge—all
the thoughts, feelings, images, perceptions,
and beliefs linked to the brand.
- Direct approach: assess the
actual impact of brand
knowledge on consumer
response to different aspects of
the marketing program.
EXAMPLES
RESONANCE
Consumer involvement,
community, attachment
JUDGEMENT FEELING
Innovative, loyalty,
leader, superiority
Happiness, sharing,
celebration, unify,
family & friends, self-
respect
PERFORMANCE
Refreshment,
unique flavor,
reference of colas,
energy, tasty
IMAGERY:
Happiness, Moments,
Christmas, social, fun
SALIENCE
Lovemark, everywhere, American values, fresh drink, sharing happiness,
community
RESONANCE
Fanta is among the most
well-known beverages
on the French soda
market. Strong customer
loyalty amongst teens
JUDGEMENT
Taste & color:
recognizable.
Teens beverage:
mothers are purchases
& care about family
Fun, excited,
belonging to a
community,
reassuring, social
approval
FEELING
PERFORMANCE
High tenure in fruit (12%), no
pulp, natural colorants.
No use of sugar but criticism
on the use of aspartame:
nuances credibility
IMAGERY
Consuming a common
experience, less serious,
teenager drink
SALIENCE
Strong historical inheritance. Redefined its positioning: Stronger awareness
among teens. High recognition and recall on the fruit soda market: strong
French market
THANK YOU

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Young marketers elite program 2 market segmentation [tú oanh_trung hiếu]

  • 1. -MARKET SEGMENTATION- TRUNG HIEUTU OANH YOUNG MARRKETERS ELITE 2 1. MARKET SEGMENTATION 2. BRAND EQUITY
  • 2. WHAT IS MARKET SEGMENTATION MASS MARKETING MARKET SEGMENTATION TARGET MARKETING is when almost the same product is used for promotion & distribution for all customers is the process of understanding & dividing the market into distinct groups of consumers according to their needs, characteristics or behaviors. It’s also a compromise between mass marketing & target marketing. is a practice to identify and segment the market & develop products and marketing mixes for each segment or group of customers WHY MARKET SEGMENTATION STRATEGY OFFERING MARKETING TACTICS -Target market -Offering strategy -Product line -Associated Service Bundle -Advertising & other communication (message & media) -Distribution -Channels -Pricing -Sales force allocation -Promotion Segmentation has great impact on strategy & tactical development “understanding why people buy products and services like yours, which of those people you can best satisfy and what you can do to make your product simply irresistible to them”
  • 3. WHY MARKET SEGMENTATION -Segmentation allows firm to better satisfy the needs of its potential customers. -Segmentation allows us to choose which buyers to target & provides important insights as how to appeal to them. -Segmentation helps us use resources effectively, gain a focus, create value for target market & position our brand. A GOOD MARKET SEGMENTATION IS - Identifiable: the differentiating attributes of the segments must be measurable so that they can be identified - Accessible: the segments must be reachable through communication and distribution channels - Substantial: the segments should be sufficiently large to justify the resources required to target them - Unique needs: to justify separate offerings, the segments must respond differently to the different marketing mixes. - Durable: the segments should be relatively stable to minimize the cost of frequent changes.  Good market segmentation will result in segment members that are internally homogenous and externally heterogeneous; that is, as similar as possible within the segment, and as different as possible between segments Segmentation should be able to help an organization rapidly evaluate new business opportunities STRATEGIC LEVEL Segmentation should yield information to help craft successful marketing offers for specific prospects OPERATIONAL LEVEL
  • 4. BASES FOR SEGMENTATION DEMOGRAPHIC GEOGRAPHIC PSYCHOLOGICAL BEHAVIORAL -Age -Income -Marital status -Gender -Education -Family size -Social status -Occupation -Region -Size of metropolitan -Population density -Climate -Activities -Interests -Opinions -Attitudes -Values -Benefits sought -Usage rate -Brand loyalty -User status -readiness to buy EXAMPLE: PAINT INDUSTRY 1st apartment Moving in Getting children Buying house Remodeli ng project Summer cottage moving Opportunity Industry focus INDUSTRY FOCUS PRODUCT: technical properties (in/outdoor, surface, water repellant,…) PRICE: price driven PLACE: paint retailer PROMOTION: segment aligned (TV, POSM, magazines,…) OPPORTUNITY PRODUCT: relevant added value (non toxic, anti bacteria, eco friendly) PRICE: premium PLACE: paint retailer PROMOTION: segment aligned (children magazine)
  • 5. EXAMPLE: DOVE Marketing mix Segments WOMAN WOMAN , 50+ SUN MEN
  • 6. WHAT IS BRAND EQUITY FIRM BRAND 1 BRAND 2 BRAND 3 MARKETING MARKETING MARKETING CONSUMER BRAND EQUITY is how consumers think, feel, and act with respect to the brand, as well as the prices, market share & profitability that the brand commands for the firm. It’s important intangible asset that has psychological & financial value to the firm CONSUMER-BASED BRAND EQUITY Consumer-based equity can be defined as the differential effect that brand knowledge has on consumers’ response to the marketing activities of that brand Customer-based brand equity occurs when the consumer has a high level of awareness and familiarity with the brand and holds some strong, favorable, and unique brand associations in memory. Brand equity arises from differences in consumers’ response. They are the result of consumers’ knowledge about the brand in the way they have felt, learnt, seen & heard. Brand equity are reflected in perceptions, preferences & behaviors related to all aspects of brand marketing.
  • 7. BRAND EQUITY ELEMENTS BRAND EQUITY Name/symbol BRAND LOYALTY PERCEIVED QUALITY BRAND AWARENESS BRAND ASSOCIATION OTHER BRAND ASSETS Provide value to customers by enhancing customers’: • Interpretation/Process ing of information • Confidence in the Purchase decision • Use satisfaction Provide value to firm by enhancing: • Efficiency & effectiveness of marketing programs • Brand loyalty • Prices/Margins • Brand extensions • Trade leverage • Competitive advantage Brand equity creates value for both the customer and the firm.
  • 8. BRAND EQUITY ELEMENTS: CONTINUE BRAND LOYALTY Reflects how likely a customer will be to switch to another brand, especially when that brand makes a change, either in price or in product features. • Reduced marketing costs • Trade leverage • Attracting new customers via awareness and reassurance • Time to respond to competitive threats BRAND AWARENESS Is the ability of potential buyer to recognize or recall that brand in a certain product category • Anchor to which other associations can be attached • Familiarity which leads to liking • Visibility that helps gain consideration • Signal of substance/commitment PERCEIVED QUALITY Perceived quality is a perception by customers of the overall quality or superiority of a product or service. • Reason to buy • Differentiate/ position • Price premium • Channel member interest • Brand extensions BRAND ASSOCIATIONS A brand association is anything “linked” in memory to a brand. • Help Process/Retrieve Information • Differentiate/Position • Reason-to-Buy • Create Positive Attitudes/Feelings • Basis for Extensions OTHER BRAND ASSETS Such as: patents, trademarks, channel relationships, etc. • Competitive advantages HOW TO MEASURE The Customer-based brand equity concept does not only show us steps to get the highest objective of a brand - brand loyalty but also gives guidance to measure brand by analyzing consumers’ both rational and emotional responses based on their brand knowledge. - Indirect approach: assess potential sources of customer-based brand equity by identifying and tracking consumers’ brand knowledge—all the thoughts, feelings, images, perceptions, and beliefs linked to the brand. - Direct approach: assess the actual impact of brand knowledge on consumer response to different aspects of the marketing program.
  • 9. EXAMPLES RESONANCE Consumer involvement, community, attachment JUDGEMENT FEELING Innovative, loyalty, leader, superiority Happiness, sharing, celebration, unify, family & friends, self- respect PERFORMANCE Refreshment, unique flavor, reference of colas, energy, tasty IMAGERY: Happiness, Moments, Christmas, social, fun SALIENCE Lovemark, everywhere, American values, fresh drink, sharing happiness, community RESONANCE Fanta is among the most well-known beverages on the French soda market. Strong customer loyalty amongst teens JUDGEMENT Taste & color: recognizable. Teens beverage: mothers are purchases & care about family Fun, excited, belonging to a community, reassuring, social approval FEELING PERFORMANCE High tenure in fruit (12%), no pulp, natural colorants. No use of sugar but criticism on the use of aspartame: nuances credibility IMAGERY Consuming a common experience, less serious, teenager drink SALIENCE Strong historical inheritance. Redefined its positioning: Stronger awareness among teens. High recognition and recall on the fruit soda market: strong French market