Scribd
Upload
72 views

Market Segmentation: Consumer Behavior, Ninth Edition Consumer Behavior, Ninth Edition

p[-p[]p

Uploaded by

Rasel Sarder
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
72 views

Market Segmentation: Consumer Behavior, Ninth Edition Consumer Behavior, Ninth Edition

p[-p[]p

Uploaded by

Rasel Sarder
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPT, PDF, TXT or read online on Scribd
You are on page 1/ 21

Chapter 3 Market Segmentation

Consumer Behavior, Ninth Ninth Edition Edition Schiffman & Kanuk

Copyright 2007 by Prentice Hall

Chapter Outline
What Is Market Segmentation? Bases for Segmentation Criteria for Effective Targeting of Segments Implementing Segmentation Strategies

Copyright 2007 by Prentice Hall

3-2

Market Segmentation
The process of dividing a potential market into distinct subsets of consumers and selecting one or more segments as a target market to be reached with a distinct marketing mix.

Copyright 2007 by Prentice Hall

3-3

Three Phases of Marketing Strategy


Phase 3 Product/Brand Positioning

Phase 2 Target Market and Marketing Mix Selection

Phase 1 Market Segmentation

Copyright 2007 by Prentice Hall

3-4

Ryka produces sneakers that meet the special needs of womens feet.

Copyright 2007 by Prentice Hall

3-6

Discussion Question
Considering the largest bank in your colleges city or town:
How might consumers needs differ? What types of products might meet their needs? What advertising media makes sense for the different segments of consumers?

Copyright 2007 by Prentice Hall

3-7

Bases for Segmentation


Geographic Demographic Psychological Psychographic Sociocultural Use-Related Usage-Situation Benefit Sought Hybrid

Copyright 2007 by Prentice Hall

3-8

Geographic Segmentation
The division of a total potential market into smaller subgroups on the basis of geographic variables (e.g., region, state, or city)
For example, Satarbucks coffee sells plenty of full-body coffees on the West Coast, but needed to introduce a line of Milder Dimenstions Coffees to better satisfy its East Coast counterparts.

Copyright 2007 by Prentice Hall

3 - 12

Demographic Segmentation
Age Sex Marital Status Income, Education, and Occupation

Copyright 2007 by Prentice Hall

3 - 13

Psychological Segmentation
Motivations Personality Perceptions Learning Attitudes
Harley-Davidson Video

Copyright 2007 by Prentice Hall

3 - 14

Two High-End Watches for Different Psychological Segments

Copyright 2007 by Prentice Hall

3 - 15

Psychographic Segmentation
Also known as Lifestyle Analysis Psychographic variables include attitudes, interests, and opinions (AIOs)

Copyright 2007 by Prentice Hall

3 - 16

Table 3.6 Excerpts from AIO Inventory


Instructions: Please read each statement and place an x in the box that best indicates how strongly you agree or disagree with the statement. I feel that my life is moving faster and faster, sometimes just too fast. If I could consider the pluses and minuses, technology has been good for me.
[1] [2] [3] [4] [5] [6] [7]
Agree Completely Disagree Completely

[1] [2] [3] [4] [5] [6] [7]

I find that I have to pull myself away from e-mail. Given my lifestyle, I have more of a shortage of time than money. I like the benefits of the Internet, but I often dont have the time to take advantage of them.

[1] [2] [3] [4] [5] [6] [7]

[1] [2] [3] [4] [5] [6] [7] [1] [2] [3] [4] [5] [6] [7]

Copyright 2007 by Prentice Hall

3 - 17

Sociocultural Segmentation
Family Life Cycle Social Class: some investment companies
appeal to upper class customers with offering them options that correspond to their wealthy status. In contrast, a financial program targeted to a lower social class might talk instead about savings accounts and certificates of deposits.

Culture, Subculture, and Cross-Culture

Copyright 2007 by Prentice Hall

3 - 19

Family Life Cycle Advertising


Video cameras are often purchased by young couples with children.

Copyright 2007 by Prentice Hall

3 - 20

Use-Related Segmentation
Rate of Usage
Heavy vs. Light: 25-35% of beer drinkers consumes more than 70% of total beers. So most marketers prefer to target their advertising to the heavy users of beer.

Awareness Status
Aware vs. Unaware

Brand Loyalty
Brand Loyal vs. Brand Switchers
Copyright 2007 by Prentice Hall 3 - 23

Usage-Situation Segmentation
Segmenting on the basis of special occasions or situations Example Statements:
Whenever our daughter Jamie gets a raise, we always take her out to dinner. When Im away on business, I try to stay at a suites hotel. I always buy my wife flowers on Valentines Day.
Copyright 2007 by Prentice Hall 3 - 25

Benefit Segmentation
Segmenting on the basis of the most important and meaningful benefit. Prevention of decay is the benefit sought by many toothpaste consumers. Like protection of data (Norton Antivirous), Soft skin (Olay), allergy relief (allegra), Peace of mind (Liberty Mutual Insurance)
Copyright 2007 by Prentice Hall 3 - 26

Band-aid offers flex as a benefit to consumers.

Copyright 2007 by Prentice Hall

3 - 27

VALS Framework Figure 3-7

Copyright 2007 by Prentice Hall

3 - 31

Implementing Segmentation Strategies


Concentrated Marketing
One segment

Differentiated
Several segments with individual marketing mixes

Copyright 2007 by Prentice Hall

3 - 34

You might also like