Term
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Definition
| people or organizations with needs or wants and the ability and willingness to buy |
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Term
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Definition
| a subgroup of people or organization sharing one or more characteristics that cause them to have similar product needs |
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Term
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Definition
| process of dividing a market into meaningful, relatively similar, and identifiable segments or groups |
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Term
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Definition
| segment must be large enough to warrant developing and maintaining a special marketing mix |
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Term
| identifiability and measurablility: |
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Definition
| segments must be identifiable and their size measurable |
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Term
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Definition
| firm must be able to reach members of targeted segments with customized marketing mixes |
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Term
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Definition
| markets can be segmented using any criteria that seem logical |
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Term
| segmentation bases/variables |
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Definition
| characteristics of individuals, groups, or organizations |
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Term
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Definition
| segmenting markets by region of a country or the world, market size, market density, or climate |
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Term
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Definition
| segmenting markets by age, gender, income, ethnic background, and family life cycle. |
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Term
| psychographic segmentation |
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Definition
| market segmentation on the basis of personality, motives, lifestyles, and geodemographics |
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Term
| geodemographic segmentation |
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Definition
| segmenting potential customers into neighborhood lifestyle categories |
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Term
| psychographic segmentation: personality |
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Definition
| a person's traits, attitudes, and habits |
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Term
| psychographic segmentation: motives |
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Definition
| using appeals to economy. reliability, and dependability |
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Term
| psychographic segmentation: lifestyles |
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Definition
| divides people into groups according to the way they spend their time, the importance of things around them, their beliefs,and socioeconomic characteristic (income and education) |
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Term
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Definition
| process of grouping customers into market segments according to the benefits they seek from the product |
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Term
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Definition
| divides a market by the amount of product bought or consumed |
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Term
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Definition
| 20% of all customers generate 80% of the consumer's demands |
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Term
| buying processes: Satisficers |
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Definition
| business customers who place an order with the first familiar supplier to satisfy product and delivery requirements |
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Term
| buying processes: Optimizers |
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Definition
| business customers who consider number suppliers, both familiar and unfamiliar, solicit bids, and study all proposals carefully before selecting one. |
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Term
| Steps in Segmenting a market |
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Definition
1. select a market or product category for study
2. choose a basis or bases for segmenting the market
3. select segmentation descriptors
4. profile and analyze segments
5. select target markets
6. design, implement, and maintain appropriate marketing mixes |
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Term
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Definition
| a group of people or organizations for which an organization designs, implements, and maintain a marketing mix intended to meet the needs of that group, resulting in mutually satisfying exchanges |
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Term
| undifferentiated targeting strategy |
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Definition
| a marketing approach that views the market as one big market with no individual segments and thus uses a single marketing mix |
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Term
| concentrated targeting strategy |
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Definition
| a strategy used to selet one segment of a market for targeting marketing efforts |
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Term
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Definition
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Term
| multi-segmenting target market strategy |
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Definition
| a strategy that chooses two or more well-defined market segments and develops a distinct marketing mix for each |
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Term
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Definition
| a situation that occurs when sales of a new product cut into sales of a firm's existing products |
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Term
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Definition
| an individualized marketing method that utilizes customer information to build long-term, personalized, and profitable relationships with each customer. |
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Term
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Definition
| developing a specific marketing mix to influence potential customers' overall perception of a brand product line, or organization in general |
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Term
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Definition
| place a product, brand, or group of products occupies in consumers' minds relative to competing offering |
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Term
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Definition
| a positioning strategy that some firms use to distinguish their products from those competitors |
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Term
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Definition
| changing consumer's perceptions of a brand in relation to competing brands |
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Term
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Definition
| means of displaying, or graphing, in two or more dimensions, the location of products, brands, or groups of products in customers' minds |
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Term
| positioning basis: attributes |
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Definition
| a product is associated with an attribute, product feature, or customer benefit |
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Term
| positioning basis: price and quality |
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Definition
| may stress high price as a signal of quality or emphasize low price as an indication of value |
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Term
| positioning basis: use or application |
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Definition
| stressing uses or applications can be an effective means of positioning a product with buyers |
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Term
| positioning basis: product user |
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Definition
| focuses on personality or type of user |
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Term
| positioning basis: product class |
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Definition
| position the product as being associated with particular category of products |
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Term
| positioning basis: competitor |
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Definition
| positioning against competitors is part of any positioning strategy |
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Term
| positioning basis: emotion |
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Definition
| positioning using emotion focuses on how the product makes customers feel |
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Term
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Definition
| changing consumers' perceptions of a brand in relation to competing brands |
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