Strategic Planning

MARKET SEGMENTING

TARGETING
POSITIONING
STRATEGIC MARKETING PROCESS

SEGMENTING
A

process

Distinct

customer subsets of people with

similar needs and characteristics

Respond

in similar ways to a Particular

product offering and strategic marketing
program

Bases
Bases for
for Segmenting
Segmenting Consumer
Consumer
Markets
Markets
Geographic
Nations, states,
regions or cities

Demographic
Age, gender,
family size and life cycle,
or income

Psychographic
Social class, lifestyle,
or personality

Behavioral
Occasions, benefits,
uses, or responses

Requirements
Requirements for
for Effective
Effective
Segmentation
Segmentation
Measurable
Measurable
Accessible
Accessible
Substantial
Substantial
Differential
Differential
Actionable
Actionable

TARGETING
Effort

on the part of the firms to identify

Smaller
Better defined target groups
With Specific needs

Market
Market Targeting
Targeting
Segment

Size and Growth

Segment

Structural Attractiveness

Company

Objectives and Resources

POSITIONING
The

perceived fit between a particular

product and the needs of the target market

relative concept used along with

competitive offerings and consumer needs.

POSITIONING
POSITIONING FOR
FOR COMPETITIVE
COMPETITIVE
ADVANTAGE:
ADVANTAGE: STRATEGIES
STRATEGIES
Product
Product
Class
Class
Away
Away from
from
Competitors
Competitors

Product
Product
Attributes
Attributes

H
H

Benefits
Benefits
Offered
Offered

G
G
C
C
A
A

Against
Against aa
Competitor
Competitor

D
D

E
E

B
B

Users
Users

F
F

Usage
Usage
Occasions
Occasions

STP PROCESS OF MARKETING

S e g m e n t in g
D iv id in g t h e m a r k e t o f a p r o d u c t in t o s o m e s u c h g r o u p s
w h ic h h a v e s o m e c o m m o n c h a r a c t e r is t ic s

T a r g e tin g
S e le c t in g o n e o r m o r e s u c h g r o u p s w h ic h t h e c o m p a n y
c a n s e rv e th e b e s t

P o s it io n in g
A p p r o a c h in g th e ta r g e te d g r o u p b y w a y o f b u s in e s s
c o m m u n ic a t io n s

STRATEGIC MARKETING
PROCESS
The strategic marketing concept
suggests that there should be a
most appropriate match between
a firms products and the targeted
segments which should further be
adequately served.

STRATEGY
Fundamental

pattern of present and

planned objectives
Resource deployments
Interactions of an organization with
markets, competition and other
environmental factors

Marketing Strategy
Marketing

strategy is the complete and

unbeatable plan, designed especially for
attaining the marketing objectives of the
firm.

The

marketing objectives indicate what

the firm wants to achieve, the marketing
strategy provides the design for
achieving them.

Paradigm of Strategic
Marketing Process

CUSTOMERS

Relationship Marketing

Solution selling

Business process integration

COMPETITION
1.

Developing appropriate marketing

mix

2.

A careful analysis of each stage of

the product life stage and taking
appropriate decisions for each
situation

COMPETITION.
3.

Carving a market niche whereas the company

feels competitively and strategically stronger.

4.

By appropriately segmenting the market and

selecting and serving the most appropriate
segment.

5.

Deciding for acquisition, merger, diversification or

collaborations in order to make the company
stronger and more competitive in the market.

COMPETENCIES
1.

2.

3.

It is a source of competitive advantage

in that it makes a significant
contribution to perceived customer
benefits.
It has applications in a wide variety of
markets.
It is difficult for competitors to imitate.

METHODS TO DEVELOP
STRONG COMPETENCIES
1.

2.
3.

Striking strategic alliances or

joint ventures wherever
necessary.
Developing of value chains.
Creating market niches etc.

METHODS TO DEVELOP
STRONG COMPETENCIES
4.
5.
6.

7.

Becoming a global player in size.

Acquiring the latest technology
Investing liberally in research
and developmental activities.
Developing best brands