Glossary
Chapter 7: Segmenting Markets, Targeting and PositioningJump to a chapter's terms: 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 | 13 | 14 | 15 | 16 | 17 | 18 | 19 | 20 | 21 | 22 | 23 | 24
- Basis for competing
- A differential advantage and any strengths held over competitors. p. 236
- Benefit segmentation
- The division of a market according to the benefits consumers want from the product. p. 219
- Business-to-business market
- Individuals or groups that purchase a specific kind of product to re-sell, use directly in producing other products or use in general daily operations. p. 204
- Concentration strategy
- A process by which a business directs its marketing effort towards a single market segment through one marketing mix. p. 228
- Consumer market
- Purchasers or individuals in their households who personally consume or benefit from the purchased products and do not buy products primarily to make a profit. p. 204
- Descriptors
- Variables used to profile or build a fuller picture of target segments. p. 228
- Differential advantage
- An attribute of a product or a business that is not currently matched by rival companies or products and is highly desired by the target market's customers. p. 236
- Heterogeneous markets
- Markets in which all customers have different requirements. p. 206
- Market
- An aggregate of people who, as individuals or as organisations, have a need for certain products and the ability, willingness and authority to purchase such products. p. 204
- Market density
- The number of potential customers within a unit of land area. p. 216
- Market segmentation
- The process of grouping customers in markets with some heterogeneity into smaller, more similar or homogeneous segments. The identification of target customer groups in which customers are aggregated into groups with similar requirements and buying characteristics. p. 206
- Multisegment strategy
- A strategy by which a business directs its marketing efforts towards two or more market segments by developing a marketing mix for each. p. 229
- Multivariable segmentation
- Segmentation using more than one characteristic to divide a total market. p. 225
- Perceptual mapping
- A tool used by marketers and marketing researchers to visually depict consumer perceptions and prioritising of brands and their perceived attributes. p. 234
- Positioning
- The process of creating an image for a product in the minds of target customers. p. 233
- Positioning statement
- A plausible, memorable image-enhancing written summation of a product's or brand's desired stature. p. 236
- Profiling
- The task of building up a fuller picture of the target segments. p. 228
- Segmentation variables or bases
- The dimensions or characteristics of individuals, groups or businesses that are used for dividing a total market into segments. p. 210
- Single variable segmentation
- Segmentation achieved by using only one variable, the simplest type of segmentation to perform. p. 225
- Targeting
- The decision about which market segment(s) a business decides to prioritise for its sales and marketing efforts. p. 228
- Undifferentiated or total market approach
- An approach that assumes that all customers have similar needs and wants and can be served with a single marketing mix. p. 205