29 March 2014
The segmenting step is essentially a brainstorming activity. You list out all the potential market segments you could target in a marketing campaign. Niche companies sometimes have only one target market, while other businesses may have five or 10 possible segments, or more. Cell phone providers, for instance, often separate customers by benefits. Some buyers want high-tech gadgetry while others want dependable communication for travel and emergencies.
When you have multiple, distinct market segments, you typically need to customize marketing campaigns that appeal to each. As you go through the STP process, you select which segment to target with your upcoming campaign. Using the cell phone example, you might decide to launch a new campaign to promote advanced mobile features, media, apps and texting tools to younger, tech-savvy audiences. For this campaign, you would develop messages and use media tailored to that market.
Positioning is how you align your brand or products in the target market. The goal is to offer something that is bigger, better or more valuable than your competitors to a particular market segment. For example, Apple attempts to position itself as an innovative, cutting-edge technology provider to discerning tech buyers who want top-quality solutions. Your positioning serves as your big-picture guide in building your marketing campaign.
Posted by saakshi mehta on March 29, 2014