map/seg/pos

• Marketing map - shows range of positions that a product can take in a market (quality and price)
• Dimensions of a marketing map

  • low price vs high price
  • basic quality vs high quality
  • low volume vs high volume
  • necessity vs luxury
  • simple vs complex
  • unhealthy vs healthy
• Market segmentation - dividing market into parts that reflect a customers needs
• Income - how much u earn
• Geographic - where u are
• Demographic - age, gender etc
• Behavioural - lifestyle
• Benefits of ms

  • allows focus & direction
  • allows business to grow share in markets
  • helps with product development
• Drawback of ms

  • data not always available
  • doesn’t necessarily mean you can reach ur target
  • fast changed happening
• Target market - customers who share common needs & wants
• mass marketing - target everyone
• Segmented marketing - target several markets within the market
• Niche marketing - targets small amount
• Market positioning - range of positions a product can take in a market based on 2 dimensions
• benefits of successful mass marketing

  • lower risk
  • low unit cost
  • Market research cost is low
  • Widest potential customer base
• advantages for niche market

  • less competition
  • clear focus
  • higher prices
  • loyal customers
• Disadvantage for niche market

  • lack of economies of scale
  • likely attract competition
  • vulnerable to changes in market/demand