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Segmentation and Targeting

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Presentation on theme: "Segmentation and Targeting"— Presentation transcript:

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2 Segmentation and Targeting
ATM Semester 2 Tutorial 1 By Dildara Gapparova/Pavel Galkin

3 Agenda Segmentation PITA Model Target market strategies
Customer Profiles

4 What is it Segmentation?
The process of dividing a larger market into smaller pieces based on one or more meaningful , shared characteristics. (Solomon, et.al, 2013)

5 Psychographic /Lifestyle
Segmenting consumer markets Behavioural End use Benefits sought Usage rate Loyalty Attitude Readiness to purchase Geographic Region County size City size Density Climate Demographic Age Gender Race Ethnicity Marital status Family size Family life cycle Income Psychographic /Lifestyle Social Class Activities Interests Opinions

6 Seminar Exercise Soup, 6000 sum Sausages, 450 gr 17000 sum Hair Dye
Fitness Club,170,000 sum per month

7 Questions which you can use in order to find out your segment of customers:
Are they Male or Female? What is their age or age range? What is their family background? What is their cultural Background? What is their educational Background? (University/College/High School) Where do they live and work? Are they married, single or living with a partner? Do they have children? If so, how old would their children be? Do they have children still living at home? What films and books did they enjoy? What is their income approximately? What are their dreams?

8 PITA = Population*Incidence*Times*Amount
PITA Model PITA = Population*Incidence*Times*Amount P – Population, a number of targeted people I – Incidence is the proportion of the target population that has (or would) purchased what you are selling T – Times, frequency of purchase A – Amount of money consumers (or merchants) are willing to pay.

9 Population in Uzbekistan

10 Population in Uzbekistan
Age structure:  0-14 years: 24.9% (male 3,693,838/female 3,514,734)  years: 20.5% (male 3,008,779/female 2,934,534)  years: 43% (male 6,178,921/female 6,255,715)  years: 6.8% (male 926,129/female 1,036,576)  65 years and over: 4.8% (male 588,881/female 791,609)

11 Targeting Strategies There are 4 main Targeting Strategies
(Solomon, et.al, 2013) 1. Undifferentiated Marketing 3. Concentrated Marketing 2. Differentiated Marketing 4. Customized Marketing

12 Targeting Strategies 1. Undifferentiated Marketing
3. Concentrated Marketing 2. Differentiated Marketing 4. Customized Marketing

13 Why do we need to know Customer Profile?

14 Customer Profile: Definition
Customer Profile shows customer destinations, shopping and eating habits, interests, activities and media preferences. This information helps to find ways of “catching” target customers through marketing communications of the company.

15 Customer Profile Websites TV Channels Games Entertainment
Places to eat Shopping Hobby

16 Customer Profile Example
Jasur: Male 20-25, Student from Tashkent, Uzbek Websites TV Channels Entertainment Games Shopping Places to eat Hobby

17 Reading Brassington F. and Pettit S. (2003) Principles of Marketing, Pitman Publishing. Chapter 5 Jobber, D.(2001) Principles and Practice of Marketing, McGraw Hill. Chapter 7 P.Kotler, Principles of Marketing,3rd European edition,2002, Prentice Hall. Chapter 9 and 10 Solmon, M. et al (2013) Marketing: Real People, Real Decisions, 2nd European ed. Pearson Education Chapter 6


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