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Summary (Chpt.7) Customer Value-Driven Marketing Strategy
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Customer Value-Driven Marketing Strategy Creating Value for Target Customers
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Principles of Marketing by ProfessorBurgerQueenCustomer Value-Driven Marketing Strategy
Creating Value for Target Customers
- Market segmentation requires dividing a market into smaller segments with distinct
needs, characteristics, and/or behaviours that might require separate marketing
strategies or mixes
Segmenting Customer Markets
- Geographic segmentation
- Demographic segmentation
- Psychographic segmentation
- Behavioural segmentation
- Geographic segmentation divides a market into geographical units such as nations,
regions, and neighbourhoods
- Demographics divides the market into units based on variables such as age, gender,
life-cycle stage, income, religion etc.
- Psychographic divides based on social class, lifestyle, or personality characteristics
- Behavioural divides based on attitudes, consumer knowledge, and responses to
usage of products
- Multiple segmentation is used to identify smaller, better-defined target groups
Segmenting International Markets
- Geographic location
- Economic factors
- Cultural factors
- Political & legal factors
- Inter-market segmentation involves forming segments of consumers who have
similar needs and buying behaviours even though their locations are different
- Geographic location refers to grouping by regions such as Africa, Europe, NA (North
America), LATAM (Latin America) and APAC (Asia-Pacific). This segmentation
assumes that nations close to one another will have many common traits
- Economic factors involves grouping countries by income levels or by their overall
level of economic development
- A country’s economic structure shapes its population’s product & service needs, and
therefore, the marketing opportunities it offers
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