Segmentation ,Targeting and Positioning

segmentation is “The process of splitting customers, or potential customers, in a market into different groups, or segments, within which customers share a similar level of interest in the same or comparable set of needs satisfied by a distinct marketing proposition.”
(http://www.marketsegmentation.co.uk/segmentation_tmsc.htm)

 

Market segmentation is when the markets are split in different groups. with similar needs and interests. Each segment is then put in to certain profiles. Many companies used market segmentation to put their buyers in to groups in order to analyse and target the right market.
Company may put the segments into certain profiles in which they put their customers. Some examples of profiles in segmentation can be :

 

• Age

 

• Culture

 

• Lifestyle

 

• Income

 

• Social class

 

• Gender

 

Segmenting the market in to group enable the company to be able to advertise and target the right product and services to the right target market.
For example companies selling toothpaste have a range of different products that are directed at certain people. The segmentation profiles would be the types of toothpaste and what they are for. Such as sensitive may be a profile which they would target people with sensitive teeth with the product of sensitive teeth toothpaste. Also toothpaste are for different needs are suited to different markets. Such as toothpaste for white teeth, fresh breath , protection, children, babies etc.

 

STP MARKETING

 

S- Segmentation

 

T- Targeting

 

P- Positioning

 

Market Segmentation (Segmenting) - dividing the market according to a specific set of criteria for a relatively homogeneous group of buyers.

Selecting the target market (Targeting) - is linked to the highlighted term attractiveness of segments and selection of operating concepts of the market.

Seo offers (Positioning) - This is the business of creating value and image (image) data on the offer by the target market, leading to the seizure of an explicit, place in the minds of customers through the range and create competitive advantage.
(http://eng.biznesowe.edu.pl/124-marketing_stp/)

STP Marketing by Doyle

  

STP is important to make sure to chose the right target market the aim of segmentation is to find the right market. The tactic used are:

 

Breaking the market into components
Regrouping them into market segments
Select which segment to target

 

There are a range of advantages of segmentation for companies these include:

• Helping to reach the right customer and not wasting time.
• Increase profits by targeting the right audience with the right product and service.
• To retain customers through FLC
• Help to gain more customers alongside gain feedback from the chosen target market