Term
What does Marketing Segmentation Mean?
(What does Marketing Segmentation Mean?) |
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Definition
| A business firm segments its market so it can respond more effectively to the wants of groups of potential buyers in order to increase sales and profits. Segmentation is not always necessary or required. Would segmentation be worth doing and is it possible? Segmentation is only a tool to accomplish a goal, such as increased sales or profits. Marketing Segmentation is both an art and science. |
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Term
| Market Segmentation (What does Marketing Segmentation Mean?) |
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Definition
| to collect prospective buyers into groups that have common needs and will respond similarly to marketing action. |
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Term
| Effective segmentation (What does Marketing Segmentation Mean?) |
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Definition
| forms meaningful groupings of customers and develops specific marketing mix; 4 P's, actions. |
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Term
| When and How to Segment Markets |
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Definition
| A business goes to the trouble and expense of segmenting its markets when it expects it will increase sales and profits. |
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Term
| 1. One Product and Multiple Market Segments(3 Methods When and How to Segment Markets) |
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Definition
| A single product offered to many segments. |
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Term
| 2. Multiple products and multiple market segments. (3 Methods When and How to Segment Markets) |
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Definition
| Producing different items for different markets. |
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Term
| 3. Segments of one (3 Methods When and How to Segment Markets) |
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Definition
| The tailoring of goods for the tastes of individual customers on a high volume scale. Economies of scale would be used when an economic benefits are realized when many of the same items are produced. |
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Term
Steps In Segmenting and Target Markets
(Criteria to use in forming segments) |
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Definition
1. Simplicity and cost-effectiveness
2. Potential for increased profits
3. Similarity of needs of potential buyers within a segment.
4. Difference of needs of buyers among segments.
5. Potential of marketing action to reach segment. |
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Term
1. Geographic
(4 Ways to Segment Consumer Markets) |
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Definition
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Term
| 2. Demographic (4 Ways to Segment Consumer Markets) |
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Definition
| Measurable objective attitude. criteria. ex. sex, age, religion, income. |
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Term
| 3. Psychographic (4 Ways to Segment Consumer Markets) |
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Definition
| Subjectively dividing the market by personal characteristics, social class, and lifestyle. |
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Term
| 4. Behavioral (4 Ways to Segment Consumer Markets) |
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Definition
| observable action or attitude of prospective customer, such as specific product features. |
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Term
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Definition
| Suggests that 80% of sales or profits come from 20% of the market. |
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Term
| Positioning(Positioning The Product) |
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Definition
| refers to the place that a product occupies in consumers' minds relative to competitive products. |
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Term
| Brand (Positioning The Product) |
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Definition
| A name, term, symbol or design or a combination of them which is intended to identify a product/service of a specific seller to differentiate them from those of competitors. |
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Term
| Brand Name (Positioning The Product) |
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Definition
| The pronounceable part of a brand. |
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Term
| Brand Mark (Positioning The Product) |
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Definition
| The Part of a brand that appears as a symbol, design, or distinctive lettering, or color. |
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Term
| Positioning. 4 Steps (IIDR) |
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Definition
1. Identify the important attributes for a product.
2. Identify how target customers rate competing products or brands with respect to these attributes.
3. Determine where the company's product or brand is in the minds of potential customers.
4. Reposition the product or brand in the minds of the customers. |
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Term
| Increasing sales Does not mean... |
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Definition
| increasing profits. objective is to increase SALES. |
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