Principles Of Marketing BAP Revision 1 
PowerPoint to accompany
Chapter 7
Market segmentation, targeting and positioning
Philip Kotler,
Stewart Adam,
Linden Brown
& Gary
Armstrong
Kotler, Brown, Adam & Armstrong: International Marketing 3e © 2006 Pearson Education Australia
Markets
Chapter objectives
1.
Explain market segmentation, and identify several possible bases for segmenting markets.
2.
Distinguish between the requirements for effective segmentation: measurability, accessibility, substantiality, actionability.
3.
Outline the process of evaluating market segments and suggest some methods for selecting market segments.
4.
Illustrate the concept of positioning for competitive advantage by offering specific examples.
5.
1. Organisations that sell to consumer and business
markets recognise that they cannot appeal to all buyers in those markets, or at least not to all buyers in the same way.
2. Buyers are too numerous, too widely scattered and
too varied in their needs and buying practices.
3. Different companies vary widely in their abilities to
serve different segments of the market.
4. Rather than trying to compete in an entire market,
sometimes against superior competitors, each company must identify the parts of the market that it can serve best.
Discuss choosing and implementing a positioning strategy, and contrast positioning based on product, service, personnel and image differentiation.
Kotler, Adam, Brown & Armstrong: International Marketing 3e © 2006 Pearson Education Australia
Kotler, Brown, Adam & Armstrong: International Marketing 3e © 2006 Pearson Education Australia
3
Kotler, Adam, Brown & Armstrong: International Marketing 3e © 2006 Pearson Education Australia
4
1
Three Major Steps in
Target Marketing
Market Segmentation z 1. Market segmentation
•
dividing a market into distinct groups of buyers with different needs, characteristics or behaviour who might require separate products or marketing mixes.
They may differ in their wants, resources, locations,
Chapter 7
Market segmentation, targeting and positioning
Philip Kotler,
Stewart Adam,
Linden Brown
& Gary
Armstrong
Kotler, Brown, Adam & Armstrong: International Marketing 3e © 2006 Pearson Education Australia
Markets
Chapter objectives
1.
Explain market segmentation, and identify several possible bases for segmenting markets.
2.
Distinguish between the requirements for effective segmentation: measurability, accessibility, substantiality, actionability.
3.
Outline the process of evaluating market segments and suggest some methods for selecting market segments.
4.
Illustrate the concept of positioning for competitive advantage by offering specific examples.
5.
1. Organisations that sell to consumer and business
markets recognise that they cannot appeal to all buyers in those markets, or at least not to all buyers in the same way.
2. Buyers are too numerous, too widely scattered and
too varied in their needs and buying practices.
3. Different companies vary widely in their abilities to
serve different segments of the market.
4. Rather than trying to compete in an entire market,
sometimes against superior competitors, each company must identify the parts of the market that it can serve best.
Discuss choosing and implementing a positioning strategy, and contrast positioning based on product, service, personnel and image differentiation.
Kotler, Adam, Brown & Armstrong: International Marketing 3e © 2006 Pearson Education Australia
Kotler, Brown, Adam & Armstrong: International Marketing 3e © 2006 Pearson Education Australia
3
Kotler, Adam, Brown & Armstrong: International Marketing 3e © 2006 Pearson Education Australia
4
1
Three Major Steps in
Target Marketing
Market Segmentation z 1. Market segmentation
•
dividing a market into distinct groups of buyers with different needs, characteristics or behaviour who might require separate products or marketing mixes.
They may differ in their wants, resources, locations,