CUSTOMER RELATIONSHIP

MANAGEMENT
BIBLIOGRAPHY
O Google - PDF
O Reference book Michael vaz
O Yahoo



CONTENTS
O Introduction
O Concept
O Definition
O Advantages
O Limitations
O Essentials
O Techniques
O Consumer Market segmentation
O Industrial Market segmentation
O Levels
O Conclusion

INTRODUCTION
O There are different types of
customers, each with different
needs and wants, tastes and
preferences, different
purchasing power and so on.
Concept

O The concept of market segment is based
on the fact that the market of commodities
are not homogeneous but they are
heterogeneous. Market represent a group
of customer having common
characteristics but two customer are never
common in their nature, habits, hobbies
income and purchasing techniques.

DEFINITION
OAccording to Philip Kotler, Market
segmentation is a process of identifying
groups of buyers with different desires or
requirements.


ADVANTAGES
O Determining market opportunities
O Developing marketing programs
O Adjustments in marketing appeals
O Designing products
O Media selection
O Timing of marketing efforts
O Efficient use of resources
O Better service
O Helps to fix price
O Assist in distribution strategies
LIMITATIONS
O Conservative attitude of management
O Deceptive variables
O Unpredictable consumer behaviour
O Inadequate market information
O Wrong judgements
O Changing environments
O Diversity of Indian markets
O Time consuming and expensive process

ESSENTIALS
O Heterogeneity
O Availability of data
O Measurability
O Substantiality
O Approachability
O Actionability
O Responsiveness
TECHNIQUES
Consumer
market
segmentation
Industrial
market
segmentation
CONSUMER MARKET
SEGMENTATION
Geographic
segmentation
Demographic
segmentation
Sociographic
segmentation
Psychographic
segmentation
Behavioural
segmentation
Geographic segmentation

Divide the market into different group based on :
Region South India , North , Western Region,
East
City metro cities, cities with population more
than 1 million
World
Density
Climate
States

Ex.- McDonald globally, sell burgers aimed at local
markets, for example, burgers are made from lamb
in India rather then beef because of religious
issues. In Mexico more chilly sauce is added and
so on.


Demographic segmentation

Demographic
age gender Lifestyle income
Sociographic segmentation

cultural
Social class
Reference group
Psychographics segmentation
lifestyle
Social class
Personality
Psychographics segmentation
Lifestyle groups

Yuppie Associations
Mobile
High valued house/flat
Good Salary
Young branded car.

Third Agers Associations.
50's
Retired early from profession.
Time to spare
Adventure Seekers


Behavioural segmentation
Readiness/stage
User/status
Usage/rate
Behavioural segmentation
OCCASIONS - Archies and Hallmark
cards, Monaco at
tea time.
BENEFITS Shampoo for hair
conditioning, cleaning , hair fall defense
dandruff control
USER STATUS- light medium heavy
user
LOYALTY STATUS- hardcore loyal , split
loyal- loyal to 2-3 brand ,shifting loyal,
switcher


INDUSTRIAL MARKET
SEGMENTATION
Type of organisation
Size of organisation
Geographic location
Product usage
Structure of organisation
levels
Segment
marketing
Niches
marketing
Local
marketing
Individual
marketing
Levels of Marketing
Segment marketing
O Consists of a group of customers who share a similar
set of needs and wants.

O Identifiable Group with in a Market with
Similar

Wants
Purchasing Power
Geographical Location
Buying Attitudes



Niche marketing
Group of customers seeking a distinctive mix of
benefits who are ready to pay extra premium.

E.g. Washing detergents (hard & gentle washes). Surf
excel for tough stains (hard on clothes) & Ezee from
Godrej for delicate clothes.
--- Astha , Sanskar , Q TV focus on religion &
spiritualism.
DISTINCT NEEDS
PAY PREMIUM
SPECIALIZATION
LESS COMPETITION
POTENTIAL




Local marketing
O Marketing programs tailored to the needs
& wants of local customer groups in
trading areas, neighborhoods , etc.
O This trend is called grass roots marketing.

E.g. Spiderman 3 was released in 5
different language in India including
Bhojpuri.
E.g. Kashmiri silk, Pune sarees,etc

Individual marketing
O Ultimate segmentation segments of 1
or customized marketing or one to one
marketing.
O Customization empower the
consumers to design the product or
service offering of their choice.
O E.g. Paint companies have started doing
this- Asian Paint , Nerolac , Berger Paints
O Arvind mills launched Ruffn Tuff Jeans,
branded ready to stitch



FMCG company
The fast-moving consumer goods
(FMCG) sector in India is the fourth largest
sector in the economy. It also called the
consumer packaged goods sector. The FMCG
sector in India has market size in excess of US$
13.1 billion as of the year 2012.The FMCG
sector in India had a growth rate of 15% in the
year 2011.
E.g. Wheel(washing powder), Palmolive(soap and
beauty care products), Colgate(dental care),
Hindustan Unilever , Nestle(food, dairy and coffee),
Amul (dairy products), etc.

METLIFE INSURANCE
COMPANY

Conclusion
The area of market segmentation has now been discussed in
order to realise the purpose of this thesis i.e. to provide a
framework for exemplifying how market segmentation can
determine the right target audience. In discussing these areas
it can be concluded that the market segmentation can
determine the right target audience by following the market
segmentation process and thus help a company to design an
appropriate marketing strategy.
The aim of this thesis was to understand the market
segmentation process and as a result being
able to make an analysis based on a questionnaire
conducted.