COMM 131 Lecture Notes - Lecture 4: American Express, Pebbles Cereal

• School: Queen's University
• Department: Commerce
• Course: COMM 131
• Professor: Nicole Robitaille

Document Summary

Companies must identify the parts of the market that it can serve best and most profitably: must create strategies to build the right relationships with the right customers. Segmentation: dividing a market into distinct groups with distinct needs, characteristics, or behaviours that might require separate marketing strategies or mixes. Targeting: the process of evaluating the attractiveness of each market segment and selecting which segments to enter. Differentiation: differentiating the market offering (product) to create superior customer value. Positioning: placing a product in a clear, distinctive, and desirable spot relative to competing products in the minds of target consumers. Market segmentation (4 topics: segmenting consumer markets. Geographic segmentation: dividing a market into different geographical units (global regions, countries, regions within a country, provinces, cities, neighbourhoods). Demographic segmentation: dividing the market into segments based on variables such as age, gender, family size, life cycle, household income (hhi), education, occupation, ethnic/cultural group, and generation: age and life-cycle segmentation: dividing the market by age/life-cycle.