Segmentation involves dividing a market into distinct groups based on characteristics. Targeting selects specific customer groups to market to. Positioning creates an image or identity for a product in customers' minds. Differentiation distinguishes a product from others to appeal to a target market. The presentation discusses these concepts and provides examples like Fast Track watches, Hero Honda Pleasure scooter, Amul probiotic drinks, and Mahindra Scorpio SUV.
4. “TARGETING”
Targeting strategy or targeting is the selection of the
customers you wish to service.
Choosing one's target market.
How many products to offer
Which products to offer in which segment
5. Cont’d
Evaluation of the targets
• is it sizeable
• is it growing
• is it profitable
• is it accessible
6. Positioning
To create an image or identity in the minds of their
target market for its product, brand, or organization
A product's position is how potential buyers see the
product
For example, Mercedes is positioned as a luxury brand,
and Volvo is positioned for safety.
7. Positioning concepts
Functional positions
E.G. Moov Ah se Aaha Tak..
Symbolic positions
E.G Rolex Watch, Merc
Experiential positions
E.G Food at Taj , Shopping at Lifestyles
8. DIFFERENTIATION
The process of distinguishing the differences of a
product or offering from others, to make it more
attractive to a particular target market.
Source of competitive advantage
The objective of differentiation is to develop a position
that potential customers see as unique.
9. Major Sources of Product
Differentiation
• Quality – A Peter England Shirt and a local Brand
• Functional features or design – Iphone, Nokia, Sony
• Sales promotion activities of sellers and, in particular,
advertising – Coke and Pepsi
• Differences in availability (e.g. timing and location) –
A 24hr Service
10. Fast Track
Segmentation - Gender – male, female, Fashion obsessed
youngsters.
Targeting - 18-30 yrs old, Earlier Fast Track was targeted at
20-25 year olds.
Then the company found out that the youth in the age
group of 11-20 years account for 42% of watch buying in
India.
Positioning :
18-30 yrs old - How many you have?
20-25 year olds - Cool watches from Titan.
Differentiation - Cool mesh straps, wrist hugging cases,
oversized displays
11. Hero Honda Pleasure
Segmentation - Gender – female, scooter – gear less
scooter
Targeting - The company is targeting Ladies and
Ladies only, age group 18 - 35
Positioning - Pleasure is positioned as a Pleasure
scooter. Why should boys have all the fun?
Differentiation - 21 exclusive ‘For Her’ showrooms in
the country operated and managed by women
employees.
12. Amul Probiotic
Segmentation - PAN India Coverage, Health
conscious/ higher middle class society.
Targeting -
Prolife: All Age group
SugarFree: Diabetic People
Positioning – “Healthy Life for life” Low Calories &
Low Calories.
Differentiation - Special pack for diabetic people
and packs priced at Rs. 15 – Rs 110.
13. JAM
Segmentation :- Mumbai, Young Adult& Metro
mindset.
Target :- Youth age below 25.
Positioning :- Just Another Magazine.
Differentiation :- College festival expertise, SMS
response to contest and polls (53636), Summer
Internships.
14. Segmentation: Pan India, People who prefer fruit
drink against Soft Drinks
Targeting: Youth aged between 16-21.
Positioning: A mango drink that is “Fresh-n-juicy”
Differentiation: First Tetrapak fruit juice in India,
“Green mango” variant
15. Mahindra Scorpio
Segmentation: People who prefer a sturdy vehicle with
luxury and comfort.
Target: High Income Families in Class I and II cities, in
Metros.
Positioning: “Nothing else will do….” Luxury of a Car
and Thrill of a SUV
Differentiation: Combined benefits of an SUV and a
Car.