Segmentation, Targeting and Positioning Assignment

Segmentation, Targeting and Positioning - Assignment Example Effective segments are identifiable, measurable, accessible, sizable and actionable. The next step entails selecting customers whose needs can be served by the marketer in the best possible manner. The segment so chosen is the target market. The worth of each segment in terms of sales potential and profit potential is gauged while selecting the target market. It is a good idea to select a segment that is underserved by the existing brands. In the ultimate analysis, the target market should make the best fit with the company’s capabilities and market offerings. A product cannot be ‘everything to everyone’. The marketer, therefore, creates a distinct position of his brand in the minds of the consumer in relation to other competing brands through the process of positioning. The task of positioning begins with deciding the locus in customer’s mind, analyzing competitor’s positioning, identifying gaps and ends with creating a position in the minds of the consumers. Positioning may be done on the plank of quality, service or price. Marketers may also position their products on consumer’s expectations and desires. The entire process of segmentation, targeting and positioning is a long drawn one. The marketers however conscientiously adopt STP as the concept goes hand-in-hand with the marketing mix. All major decisions including the basis of product differentiation are taken keeping in mind the STP. Advertising is a paid form of mass communication done by an identified sponsor. On the other hand, publicity is free and comes from a neutral and impartial source. The marketer has full control over advertising whereas publicity is essentially noncontrollable.