Marketing – Segmentation
Marketing plan review Executive summary Executive summary Situation analysis Situation analysis External analysis External analysis Internal analysis Internal analysis Primary market Primary market SWOT analysis SWOT analysis Objectives and goals Objectives and goals
Primary market analysis Market Market Potential market Potential market Available market Available market Qualified available market Qualified available market Served market Served market Penetrated market Penetrated market
Total population Females Who want a baby Insured within 10 miles Actual patients
Total market demand Total volume purchased Total volume purchased Defined consumer group Defined consumer group Defined geographic area Defined geographic area Defined time period Defined time period Defined marketing environment Defined marketing environment Defined marketing program Defined marketing program
Estimating market demand
Area analysis Suburb 1 Suburb 2 Suburb 3 Beechwood Barrington Babylon Coe Canton
Area analysis Suburb 1 Suburb 2 Suburb 3 Beechwood Barrington Babylon Coe Canton
Area analysis Suburb 1 Suburb 2 Suburb 3 Beechwood Barrington Babylon Coe Canton
Estimate total market sales
Estimate organization market share Share of the total market Share of the total market Share of the served market Share of the served market Share relative to leading competitor(s) Share relative to leading competitor(s)
Forecasting future demand Buyer intention surveys Buyer intention surveys Middleman estimates Middleman estimates Market tests Market tests Time series analysis Time series analysis
An example… 9,000 visits this year … wants next July’s numbers 9,000 visits this year … wants next July’s numbers Long-term trend shows 5% growth Long-term trend shows 5% growth Business recession is expected next year = 90% of expected Business recession is expected next year = 90% of expected July is a below-average month (80%) July is a below-average month (80%)
Statistical Demand Analysis Q = f(X 1, X 2,.,X n ) Q = f(X 1, X 2,.,X n ) Q = S 1 – 75 S 2 Q = S 1 – 75 S 2 S 1 = education level S 1 = education level S 2 = age of center S 2 = age of center Q = (13) – 75 (4) = 570 Q = (13) – 75 (4) = 570
Segmentation Ways of segmenting the market … Ways of segmenting the market … Criteria of a good segment Criteria of a good segment Identifiable Identifiable Accessible Accessible Inclined to buy Inclined to buy Able to buy Able to buy
Segmentation Criteria of a good segment Criteria of a good segment Profitable Profitable Desirability Desirability Consistency Consistency Availability Availability
Approaches to segmentation Concentration or convergent Concentration or convergent Multi-segment or divergent Multi-segment or divergent User-oriented User-oriented Product-usage Product-usage
Group activity Segment the classroom Segment the classroom
Heuristics of segmentation Consumer descriptive characteristics Psychographics Product lifestyle Product benefit Purchase & intention Brand preferences Actual Purchase decisions Accuracy of prediction
Case study: Georgia Medical Plan
Situation Analysis Review… Internal analysis Internal analysis Corporate goals and objectives Corporate goals and objectives General company/service history General company/service history Organization chart Organization chart Marketing experiences Marketing experiences Marketing resources Marketing resources Management support Management support
Situation Analysis Review… External analysis External analysis Service/product usages Service/product usages Heavy users Heavy users Primary/secondary market Primary/secondary market Market share Market share
Situation Analysis Review… External analysis External analysis Awareness Awareness Market demand Market demand Pricing Pricing Distribution/access Distribution/access
Situation Analysis Review… Comparative competitive analysis Comparative competitive analysis SWOT analysis SWOT analysis Opportunities Opportunities