Segmentation, targeting and positioning

Segmenting, targeting and positioning is three different ways in which marketers effectively place their marketing within the market.

Segmenting


Segmenting is where the marketer splits the market in to groups (segments) and targets their marketing relevant to one or more of four factors. These factors are geographic, demographic, psychographic and behavioral.

Geographic Segmentation
Geographic segmentation separates the population in terms of location. Variables often used in geographic segmentation are:

Region: by continent, country, state, or even neighbourhood
Size of metropolitan area: segmented according to size of population
Population density: often classified as urban, suburban, or rural
Climate: according to weather patterns common to certain geographic regions

Demographic Segmentation
Demographic segmentation segments in terms of population. Some demographic segmentation variables include:

Age
Gender
Family size
Family life cycle
Generation: baby-boomers, Generation X, etc.
Income
Occupation
Education
Ethnicity
Nationality
Religion
Social class

Psychographic Segmentation
Psychographic segmentation groups customers according to their lifestyle, activities, interests, and opinions . Some psychographic variables include:

Activities
Interests
Opinions
Attitudes
Values

Behavioralistic Segmentation
Behavioral segmentation is based on actual customer behaviour toward products. Some behavioralistic variables include:

Benefits sought
Usage rate
Brand loyalty
User status: potential, first-time, regular, etc.
Readiness to buy
Occasions: holidays and events that stimulate purchases

An example of segmentation through gender is shown below in a Strongbow advert aimed at male grafters who keep our country going:



Targeting


Targeting is derived from segmenting and targets a segment that is the most profitable, useful and or beneficial to market to. Targeting is based on the capabilities of the business, segment size, profitability, current and potential competitors, accessibility, durability and how easily the target group can be measured. An example of targeting is shown below in an anti-smoking advert targeting men who smoke:



Positioning


Finally positioning takes the target market and offers something different, new and or innovative to the consumer. The idea behind this is to avoid competition and create a new market and a reason to buy their product over the competition. An example of positioning is within the new Ford mondeo advert shown below:



The advert emphasises the mondeo being the only car in its class with voice control thus offering something original to its consutomers.