Segmentation, Targeting, Positioning

According to Horner and Swarbrooke (2005: 39), Segmentation may be defined as the process of dividing a whole market into subgroups or segments for marketing management purposes. Market segmentation is the division of the overall market for a service into various categories with common characteristics. In response to different segments, organisations facilitate the available resources to achieve greater efficiency, in order to satisfy specific needs of customers.

Market segmentation is the fundamental component of a market-based strategy. A market segment is a specific group of customers with distinctive customer needs, purchase behaviours and different descriptive characteristics. (Best, 2000) By categorizing markets into sub sectors, targeting marketing effort in such a way as to meet the technical and other requirements of each of these, organisations maybe able to secure greater competitive position than if they attempted to satisfy the general requirements of the market as a whole.

19) ______________ is the process of naming broad product-markets and then segmenting these broad product-markets in order to select target markets and develop suitable marketing mixes.

Marketing is a social and managerial process by which individuals and organizations obtain what they need and want through creating and exchanging value with others. (Kotler & Armstrong, 2012)

Market segmentation is the process of dividing a market up into different groups of customers, in order to create different products to meet their specific needs. The most obvious type of segmentation is between customers who buy distinctly different products.

Markets for any product comprises several segments of consumers, each with different needs and wants. Market segmentation can be categorised in the following manner:

Segments. A ‘market’ after all is the aggregate of consumers of a given product. And, consumer (the end user), who makes a market, are of varying characteristics user and buying behaviour. There are different factors contributing for varying mind set of consumers. It is thus natural that many differing segments occur within a market. In order to capture this heterogeneous market for any product, marketers usually divide or disintegrate the market into a number of sub-markets/segments and the process is known as market segmentation. Segmentation thus we can say that market segmentation is the segmentation of markets into homogenous groups of customers, each of them reacting

Market segmentation is the process of dividing the market into parts that are different from one another. It is the identification of potential customers who would buy your products. Different customers have different needs and it is not possible to satisfy these needs by treating all customers in a similar way. Most organisations do not have all the resources to satisfy the needs of all the customers. Therefore, it is necessary to identify the similar groups of customers and to serve one or two group with the available resources. When market segmentation is done well the members in each segment of the market are as similar to each other as possible inside a segment and are also as different as possible

Market segmentation is the division of the total market into relatively homogeneous, but distinct segments. It is used to identify target audiences and strengthen a campaign 's effectiveness in reaching selected segments. Segments usually respond to campaign elements differently and different techniques are required to reach and motivate various segments.

An organisation cannot connect with all customers in large, broad or diverse markets. But they can divide such markets into groups of customers or segments with distinct needs and wants then it needs to identify which market segments it can serve effectively. This decision requires a keen understanding of customer behaviour and careful strategic thinking.to develop a best marketing plan one should need to understand what makes each segments unique and different. STP or segmentation, targeting and positioning is a marketing tool which helps an organisation to differentiate, attract, maintain and grow customers for their particular products. In order to be a profitable and productive an organisation should find out their target customer market so segmentation, targeting and positioning are three main issues to consider when determining any target market.

An organization cannot satisfy all the needs and wants of all the consumers. Therefore, Market is divided into different segments so an organization can focus on the needs and wants of the specific consumers who share similar needs and demonstrate similar buyer behavior. In the world, there are different types of buyers with their own needs and behavior. Segmentation is the process to match groups of the purchasers with same needs and wants.

In this block, the market segments should be defined (can be one or more), based on their needs, how to reach them, what kind of relationship should be established with each segment, their profitability levels and if they are willing to pay extra for different aspects of the offer. The business model should clearly choose which segments to serve and which to ignore.

1.4 – Market Segmentation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7

Customers in groups sharing particular wants or needs are known as market segmentation. Marketing segmentation divides the whole market of the company into segments which are targeted, using developed methods and on products so as to make basis for the company’s product in market.

Market segmentation is the identification of the specific groups of people based on their common characteristics like age, sex, occupation or even locality or geographic location. Market segmentation is important to marketers since it enables them to be able to attract consumers by advertising in such a way that the advertisement touches on the needs of the consumers thus motivating them to use the product.