MGMC11H3 Lecture Notes - Lecture 3: Luxury Goods, Relate, Philip Kotler
Document Summary
Target market: market set of all actual + potential buyers who have sufficient interest in, income for, + access to a product: market segmentation divides market into distinct grps of homogeneous consumers who have similar needs + consumer behavior, + who require similar marketing mixes, m. seg requires making tradeoffs b/w costs + benefits, e. g. Toothpaste market: sensory seeking flavor + product appearance, sociables seeking brightness of teeth, worriers seeking decay prevention. Independent seeking low prices: criteria for segmentation: Competition: deciding to target a certain type of consumer often defines the nature of competition . Attribute & benefit trade-offs: price + quality, convenience & quality, taste & low calories, efficacy & mildness, power & safety, ubiquity & prestige, comprehensiveness (variety) + simplicity, strength & refinement. Hort 3-5 word phrases that capture the irrefutable essence/spirit of brand positioning + values. Internal branding: members of org. are properly aligned w/brand + what it represents, crucial for service companies.
