STP

• What does STP stand for

  Segmentation, Targeting, Positioning
• What is segmentation?


  Identify and describe market segments by grouping together customers with similar needs
• What is targeting?


  evaluate segments and decide which ones to serve
• What is positioning?


  design a product or service to meet a segments needs and develop a marketing mix that will create a competitive advantage in the minds of the selected target markets.
• Variables for consumer markets - segmentation

  1. Geographics: countries, population, climate
  2. Demographics: age, gender, social class, income, occupation
  3. Psychographics: lifestyles, values, personality
  4. Behavioural: occasion, intent, purchase usage
• Undifferentiated marketing - market strategies

  defines an entire market for a particular product as its target market. organisation designs a single marketing mix. directs the marketing mix at entire market. assumes all customers have similar wants and needs.
• Differentiated marketing - market strategies

  directs marketing efforts towards two or more market segments. develops a marketing mix for each segment.
• Focused marketing - market strategies

  an organisation directs marketing efforts towards a single market segment. creates and maintains one marketing mix. allows organisations to specialise. focus on the needs of a distinct customer group.
• Customised marketing - market strategies

  an organisation directs marketing efforts towards two or more customers. develops a marketing mix for each customer.