Market Planning, Database Segmentation and Targeting
Markets can be segmented based on a variety of characteristics, but of utmost importance is the difference between consumer and business markets. Consumer markets tend to be distributed within the traditional marketing categories that characterize each segment: demographics, geographic, values and beliefs, psychographics/behaviors, and loyalty indicators. Business markets may share similar characteristics with consumers, but more often are focused on: geographic, company size, industry or industries served, market segments on which these companies focus (B2B2B or B2B2C), and loyalty indicators. SMB Value Partner clients understand that different customer types bring varying value to their business. Market segment definitions divide customers into groups with similar characteristics, reason being that a business should not formulate an identical marketing mix for different customer types.
Segmentation models should allow tailoring of the marketing mix to specific market segments or customer types, thereby affording the business a greater opportunity to satisfy the needs of that specific group. A marketing mix strategy should also focus on the customers within those segments who have enough purchasing power to be profitable for the business. This means that if you aim at the right target, the customer types in the chosen segment should favor a specific product, be inspired by the call-to-actions of promotional messages, believe prices reflect the value delivered, and acquire the product through the most convenient channel. SMB Value Partners work with our clients to help them understand the needs of those customers, what motivates them, and how to attract them. We help clients understand the benefits that customers value most so that they can create the most potent product positioning. Market segmentation models are a moving target because customers’ needs continually evolve. We help our clients keep up with those changes so they can more appropriately evolve their products with the necessary agility. |