Question

Part A Understanding Consumers Consumer decision-making processes can be complicated because there are many factors (internal and external) that influence this process. For example, there are individual internal factors like personality and external factors including household structures, society and culture. Some decision making processes are linear and others are more emotional. For your report, you need to identify and explain how the concept of motivation affects consumers' likelihood of buying your product

Part B Segmentation

Define and describe the theoretical concept and purpose of segmentation. Identify and define the key segmentation variables (i.e. demographics, psychographic etc), be sure to present this information with market data evidence (i.e. tables/graphs/statistics from sources such as ABS/ Roy Morgan etc) ; and Using the different segmentation variables, describe a likely primary segment for your organisation and create your "Typical Consumer" profile (see template in i2)

Part C Targeting strategies

Define and describe the theoretical concept of targeting strategies; and Outline the most appropriate strategy for your product, given the competition and market analysis (from Assessment Two) and its likely segment described in your consumer profile

Answer 1

Today, Segmentation, Targeting and Positioning (STP) is a recognizable key methodology in Modern Marketing. It is one of the most normally applied promoting models practically speaking. In our survey getting some information about the most famous promoting model it is the second generally well known, just beaten by the admired SWOT/TOWs grid. This fame is moderately later since beforehand, advertising approaches were based more around items as opposed to clients. During the 1950s, for instance, the fundamental advertising technique was 'item separation'.

The STP model is valuable when making advertising correspondences plans since it encourages advertisers to organize recommendations and afterward create and convey customized and applicable messages to draw in with various crowds.

This is a crowd of people as opposed to item engaged way to deal with correspondences which conveys increasingly pertinent messages to financially engaging crowds. The graph beneath shows how plans can have the stream from

Notable approaches to fragment your crowd include:

1. Socioeconomics

Breakdown by any mix: age, sexual orientation, salary, instruction, ethnicity, conjugal status, training, family (or business), size, length of home, kind of living arrangement or even calling/Occupation.

A model is Firefox who sell 'coolest things', focused on more youthful male crowd. However, Moshi Monsters, in any case, is focused to guardians with fun, sheltered and instructive space for more youthful crowd.

2. Psychographics

This alludes to 'character and feelings depends on conduct, connected to buy decisions, including perspectives, way of life, side interests, hazard avoidance, character and administration qualities. magazines read and TV. While socioeconomics clarify 'who' your purchaser is, psychographics educate you 'why' your client purchases.

There are a couple of various ways you can accumulate information to help structure psychographic profiles for your common clients.

Meetings: Talk to a couple of individuals that are extensively illustrative of your intended interest group. Inside and out meetings let you accumulate valuable subjective information to truly comprehend what is most important to your clients. The issue is they can be costly and hard to direct, and the little example size methods they may not generally be illustrative of the individuals you are attempting to target.

Overviews: Surveys let you contact a bigger number of individuals than interviews, however it very well may be more enthusiastically to find as keen solutions.

Client information: You may have information on what your clients will in general buy from you, for example, information originating from devotion cards if a FMCG brand or from online buy history on the off chance that you are a web based business. You can utilize this information to create bits of knowledge into what sort of items your clients are keen on and what is probably going to make them buy. For instance, does limiting tremendously expand their affinity to buy? In which case they may be very unconstrained.

3. Way of life

This alludes to Hobbies, recreational interests, diversion, get-aways, and other non-work time interests.

Organizations, for example, here and there line magazine will focus on those with explicit side interests for example FourFourTwo for football fans.

A few leisure activities are huge and entrenched, and hence generally simple to target, for example, the football fan model. Be that as it may, a few organizations have discovered extraordinary achievement focusing on extremely little specialties successfully. An incredible model is the blast in 'preparing' related organizations, which has gone from somewhat known about periphery action to a billion dollar industry as of late. Obviously now 3.7 million American's consider themselves preppers or survivalists. An extraordinary method to begin researchign and focusing on these sort of specialties is Reddit, where individuals make subReddits to share data about a given intrigue or leisure activity.

4. Conviction and Values

Alludes to Religious, political, nationalistic and social convictions and qualities.

The Islamic Bank of Britain offers Sharia-consistent financial which meets explicit strict prerequisites.

An abnormal however fascinating case of strict socioeconomics impacting advertising that you probably won't have speculated is that Mormons are truly into 'staggered showcasing'. They're undeniably bound to be occupied with the training than some other US gathering. Going the additional mile with segment research can prompt finding new showcasing openings and considering new ideas. For instance, did you know 55-64-year-olds are the most probable age gathering to purchase another vehicle? Be that as it may, you don't will in general observe them in the vehicle advertisements. An open door standing by to be seized!

5. Life Stages

Life Stages is the Chronological benchmarking of individuals' lives at various stages.

A model is Saga occasions which are just accessible for individuals matured 50+. They guarantee an enormous enough section to concentrate on this life stage.

6. Geology

Drill somewhere near Country, locale, zone, metropolitan or provincial area, populace thickness or even atmosphere.

A model is Neiman Marcus, the upmarket retail chain in the USA currently conveys to the UK.

7. Conduct

Alludes to the idea of the buy, brand dependability, utilization level, benefits looked for, dissemination channels utilized, response to showcasing factors.

In a B2B domain, the advantages looked for are regularly about 'how before long would it be able to be conveyed?' which incorporates the 'latest possible time' portion - the arranging ahead of time section.

A model is Parcelmonkey.co.uk who offer same day, following day and global bundle conveyances.

8. Advantage

Advantage is the utilization and fulfillment picked up by the buyer.

Smythson Stationery offer comparative items to other writing material organizations, however their customers need the advantage of their mark bundling: tissue-fixed Nile Blue boxes and tied with naval force strip!

Market focusing on

The rundown underneath alludes to what's expected to assess the potential and business engaging quality of each portion.

Rules Size: The market must be sufficiently enormous to legitimize portioning. In the event that the market is little, it might make it littler.

Contrast: Measurable contrasts must exist between sections.

Cash: Anticipated benefits must surpass the expenses of extra promoting plans and different changes.

Available: Each section must be open to your group and the fragment must have the option to get your showcasing messages

Concentrate on various advantages: Different portions must need various advantages.

Item situating

Situating maps are the last component of the STP procedure. For this to work, you need two factors to outline the market review.

In the example here, I’ve taken some cars available in the UK. This isn’t a detailed product position map, more of an illustration. If there were no cars in one segment it could indicate a market opportunity.

Expanding on the extremely basic example above, you can unpack the market by mapping your competitors onto a matrix based on key factors that determine purchase.

This chart is not meant to be any kind of accurate representation of the car market, but rather just illustrate how you could use a product positioning map to analyze your own businesses current position in the market, and identify opportunities. For example, as you can see in the gap below, we've identified in a possible opportunity in the market for low-priced family cars.

We're not saying this gap actually exists, I'm sure you could think of cars that fit this category, as the car market is an extremely developed and competitive market. However, it does show how you can use the tool to identify gaps in your own market.