Segmenting Business Markets
Identifying and analyzing a target market is a major component of formulating a marketing strategy. A clear understanding and explanation of a product’s target market is crucial to developing a useful marketing plan. References to various dimensions of a target market are likely to appear in several locations in a marketing plan. To assist you in understanding how information in this chapter relates to the creation of your marketing plan, focus on the following considerations:
● What type of targeting strategy is being used for your product? Should a different targeting strategy be employed?
● Select and justify the segmentation variables that are most appropriate for segmenting the market for your product. If your product is a consumer product, use Figure 6.3 for ideas regarding the most appropriate segmentation variables. If your marketing plan focuses on a business product, review the information in the section entitled “Variables for Segmenting Business Markets.”
● Discuss how your product should be positioned in the minds of customers in the target market relative to the product positions of competitors.
