Consumer Behaviour and Target Audience Decisions – Part 2

Target Audience Decision Consumer understanding is the key to the success of any IMC plan, program, or ad. The goal of an IMC plan, program or ad is to influence the behaviour of a target audience.

Marketing and Promotions Process Model Figure 2-5

Target Market Process Select Market To Target Determine Market Segmentation Identify Markets With Unfulfilled Needs Determine Market Segmentation Identify Markets With Unfulfilled Needs

Target Market and Target Audience Target market The group of consumers toward which an overall marketing program is directed. Target audience A group of consumers within the target market for which the advertising campaign, for example, is directed.

Target Market Process Identify Markets With Unfulfilled Needs

Market Segmentation Marketer identifies a target market by: Identifying the specific needs of groups of people, or segments Selects one or more segments as a target Develops marketing programs directed to each.

Beer is Beer? Not really!

A Product for Every Segment

The Marketing Segmentation Process Take Marketing Actions To Reach Target Segments. Select the Product Segments Toward Which the Firm Directs Its Marketing Actions. Develop a Market/Product Grid To Relate the Market Segments To the Firm’s Products and Actions. Find Ways To Group Marketing Actions - Usually the Products Offered - Available To the Organization. Find Ways To Group Consumers According To Their Needs. Select the Product Segments Toward Which the Firm Directs Its Marketing Actions. Develop a Market/Product Grid To Relate the Market Segments To the Firm’s Products and Actions. Find Ways To Group Marketing Actions - Usually the Products Offered - Available To the Organization. Find Ways To Group Consumers According To Their Needs.

Bases for Segmentation behaviour Benefits Outlets Benefits Outlets Behaviour Psychographic Geographic Demographic Psychographic Demographic Geographic Customer Characteristics Customer Characteristics Socioeconomic Buying Situation Buying Situation Usage Socioeconomic

Psychographic Segmentation Dividing the market on the basis of lifestyle, personality, culture, and social class. Criteria include: Lifestyle VALS VALS 2 Personality Culture Social class

Marketing to a Lifestyle

Abercrombie & Fitch Targets Echo Boomers

Benefit Segmentation The grouping of consumers on the basis of attributes sought in a product.

Behaviouristic Segmentation Grouping customers according to their usage, loyalties, or buying responses to a product. Product or brand usage. Degree of use. Brand loyalty. Can be used in combination with demographic and/or psychographic criteria to develop profiles of market segments.

Target Audience Options: Rossiter and Percy Perspective Brand Loyal Customers Non- Customers Favourable Brand Switchers Regularly buy the firm’s product. Buy focal brand but also buy others. New category users Other brand switchers Other brand loyals Customers not purchasing within a product category. Not consistently purchasing focal brand. Loyal to another brand.

Group Exercise For the market that your group has been assigned Determine at least 2 different possible ways to segment the market – describe them Which segmentation strategy makes the most sense for your brand – and why Which segment(s) would you target? Why? Describe your target as accurately as you can. Develop a slogan for your brand, given the target you have chosen above Develop a brief IMC strategy for your brand – which tools would you use and why