2. Market Segmentation
Market Segmentation divides a market into well-
defined slices.
A market segment consists of a group of
customers who share a similar set of needs and
wants.
Marketer’s task is to identify the appropriate
number and nature of market segments and decide
which one(s) to target.
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3. Market Segmentation
Market consists of buyers and buyers differ in ore
or more ways.
They may differ in their wants, resources,
locations, buying attitudes, and buying practices.
Through market segmentation, companies divide
large, heterogeneous markets into smaller
segments that can be reached more efficiently and
effectively with products and services that match
their unique needs.
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4. Segmentation, Targeting &
Positioning (STP)
Market segmentation is dividing a market into
distinct groups with distinct needs, characteristics, or
behavior who might require separate products or
marketing mix.
Target marketing is the process of evaluating each
market segment’s attractiveness and selecting one or
more segments to enter.
Market positioning is arranging for a product to
occupy a clear, distinctive and desirable place relative
to competing products in the mind of target customers
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7. Geographic Variables
Area
Development region, zone, district
Topography/climate
Mountain, hills, terai
Temperate, alpine, tropical
Population density
Urban, sub-urban, rural market
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8. Demographic Variables
Age
Gender
Family size
Family lifecycle
Education
Occupation
Income
Social class
Religion
Ethnicity
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15. Positioning
Act of designing the company’s offer and image
so that it occupies a distinct and value place in the
target customer’s mind
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16. Types of Positioning
Attribute positioning
Benefit positioning
Image positioning
Usage occasion positioning
User positioning
Competitive positioning
Product class positioning
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