When studying marketing it is important to understand the concept of a market and the exchange process.When we use the term “market” in a marketing sense, there are actually three possible views that we are considering – the overall market, any sub-markets and the brand’s target market/s.Overall marketThe overall market consists of all potential buyers […]
Markets, exchange and target markets Find Out More...
The market segmentation evaluation criteriaAfter constructing a set of market segments in the STP process, the market segments are then subject to evaluation against a set criteria.This is a checkpoint stage in the STP process. Its goal is to ensure that the segments meet basic requirements and guidelines for usable segments.Main Evaluation Criteria for Market
Study Notes for market segmentation evaluation criteria Find Out More...
How to segment a market? (Technical aspects)There are two main approaches: cluster analysis (if data is available), otherwise segmentation trees.Cluster analysisCluster analysis is an analysis designed to categorize objects to a pre-defined number of different groups, with each group being relatively similar on a range of selected attributes. The resultant groups are referred to as
Study Notes for how market segmentation is undertaken Find Out More...
What is a business segmentation base?A business segmentation base is definable characteristics or behavior of organizations that can be utilized to classify the organizations into related groups, for the purpose of target marketing.Main business segmentation bases (with examples)Geographic location/s: Where the business operates. Examples: Countries, regions, spread of operations across areasBusiness description: Basic description of
Study Notes for Business Segmentation Bases Find Out More...
Geographic Segmentation Base AdvantagesConsiders cultural differences of different regionsGood for firms with limited geographic reach needing to select a specific target marketGreat when there is significant socio-economic diversity and significant consumer behavioral differences across regionsGeographic Segmentation Base LimitationsAssumes that consumers in a geographic area are similar, which is generally unlikely across a broad areaUsually needs
Advantages and limitations of the main market segmentation bases Find Out More...
Quick Study Notes for Market segmentationDefinition of market segmentationThe process of splitting a market into smaller groups with similar product needs or identifiable characteristics, for the purpose of selecting appropriate target markets.What are segmentation bases?A definable characteristic, identity or behavior of an individual consumer that can be utilized to classify consumers into related groups.Why Use
Quick Study Notes for Market Segmentation Find Out More...
Using Brand Personas in Customer Journey MappingA fundamental principle of modern day marketing is to segment the market and select appropriate target markets. For more information on the market segmentation process, please refer to the market segmentation study guide.Target markets are smaller parts of the overall market, where consumers are grouped into sets of similar
Brand Personas Find Out More...
