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24 Cards in this Set

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Market segmentation
Dividing a market into distinct groups with distinct needs, characteristics, or behaviors who might require separate products or marketing mixes.
Target marketing
The process of evaluation each market segment's attractiveness and selecting one or more segments to enter.
Market positioning
Arranging for a product to occupy a clear, distinctive, and desirable place relative to competing products in the minds of target consumers.
Geographic segmentation
Dividing the market into different geographical units such as nations, states, regions, counties, cities, or neighborhoods.
Demographic segmentation
Dividing the market into groups based on demographic variables.
- age, sex, family size, family life cycle, income, occupation, education, religion, race, and nationality.
Age and life-cycle segmentation
Dividing a market into different age and life-cycle groups.
Gender segmentation
Dividing the market into different groups based on gender.
(clothing, cosmetics, toiletries, and magazines)
Income segmentation
Dividing a market into different income groups.
(automobiles, boats, clothing, cosmetics, financial services, and travel)
Psychographic segmentation
Dividing the market into different groups based on social class, lifestyle, or personality characteristics.
Behavioral segmentation
Dividing a market into groups based on consumer knowledge, attitude, use, or response to product.
(Many marketers believe that behavior variables are the best starting point for building market segments)
Occasion segmentation
Dividing the market into groups according to occasions when buyers get the idea to buy, actually make their purchase, or use the purchased item.
Benefit segmentation
Dividing the market into groups according to the different benefits that consumers seek from the product.
Intermarket segmentation
Forming segments of consumers who have similar needs and buying behavior even though they are located in different countries.
Target market
A set of buyers sharing common needs or characteristics that the company decides to serve.
Undifferentiated (mass) marketing
A market-coverage strategy in which a firm decides to ignore market segment differences and go after the whole market with one offer.
(focuses on what is common in the needs of consumers rather than on what is different)
Differentiated (segmented) marketing
A market-coverage strategy in which a firm decides to target several market segments and designs separate offers for each.
(Gap - Gap, Banana Republic, Old Navy, and Forth & Towne)
Concentrated (niche) marketing
A market-coverage strategy in which a firm goes after a large share of one or a few segments or niches.
(Especially appealing when company resources are limited)
Micromarketing
The practice of tailoring products and marketing programs to suit the tastes of specific individuals and locations-includes local & individual marketing.
(Rather than seeing a customer in every individual, they see the individual in every customer)
Local marketing
Tailoring brands and promotions to the needs and wants of local customer groups-cities, neighborhoods, and even specific stores.
Individual marketing
Tailoring products and marketing programs to the needs and preferences of individual customers-also labeled "markets-of-one marketing," "mass customization," and "one-to-one marketing"
Product position
The way the product is defined by consumers on important attributes-the place the product occupies in consumers' minds relative to competing products.
("Products are created in the factory, but brands are created in the mind")
Competitive advantage
An advantage over competitors gained by offering consumers greater value, either through lower prices or by providing more benefits that justify higher prices.
Value proposition
The full positioning of a brand-the full mix of benefits upon which it is positioned.
(The answer to the customer's question "Why should I buy your brand?" - Volvo hinges on safety)
Positioning statement
A statement that summarizes company or brand positioning-it takes this form: To (target segment and need) or (brand) is (concept) that (point-of-difference).