Targeting

Targeting - identifying which market segments offer the best market-product fit.

4 Targeting Strategies:

1.a Undifferentiated (Mass marketing) - one product targeted at all segments.

2. Concentrated (Niche Marketing) - one product targeted at one segment.

3. Differentitated - Multiple products targeted at multiple segments

4. Customized (1-to-1 Marketing) - customized product for each customer.

Criteria to use in choosing target segments:

- market size,

- expected growth,

- competitive position,

- cost of reaching the segment,

- compatibility with the organization's objectives and resources.

Positioning - is the act of designing the company's offering and image to occupy a distinctive place in the mind of the target market.

2 Positioning Strategies:

1. Head-to-Head Positioning

2. Differentiated Positioning

Perceptual Map - a means of displaying via two dimensions the location products or brands occupy in the minds of consumers.

Perceptual mapping is most often used tool to position/reposition the product relative to competitors