TAILIEUCHUNG - Lecture Global marketing: Contemporary theory, practice, and cases: Chapter 9 - Ilan Alon, Eugene Jaffe

Chapter 9 - segmenting, targeting, and positioning for global markets. In this chapter, the following content will be discussed: The need for STP strategy in global markets, global market segmentation strategies, targeting, positioning. | Chapter 9 – Segmenting, Targeting, and Positioning for Global Markets “We are saying you've got to understand and choose the customers you want to serve. Don't just go after everyone. Define the target market carefully through segmentation and then really position yourself as different and as superior to that target market. Don't go into that target market if you're not superior.” Phillip Kotler McGraw-Hill/Irwin Copyright © 2013 by The McGraw-Hill Companies, Inc. All rights reserved. Outline The Need for STP Strategy in Global Markets Global Market Segmentation Strategies Country-based (Macro) Segmentation Consumer-based (Micro) Segmentation B to B segmentation The Long Tail: Every customer can be a segment Targeting Criteria for Targeting Selecting a Global Target Strategy Undifferentiated Approach Differentiated Approach Concentrated Approach Customized Approach Positioning Process Example Summary 9-2 Need for STP Strategy in Global Markets STP allows marketers to determine the value their product or service can deliver to customers Segmentation Identification of specific types of customers Targeting Identifying methods to reach customer segments Positioning Communicating value in appealing ways to targeted segments Goal of an STP strategy To identify and engage the right customer segments, but also to preserve the true identity of the brand while answering the need to position it in very customized, segment-specific communications Global Market Segmentation Strategies Segmentation is defined by the American Marketing Association as “the process of subdividing a market into distinct subsets of customers that behave in the same way or have similar needs.” The process is challenging, however, When done well, the practice can give a firm a substantial competitive advantage Global Market Segment Criteria Five criteria must be present for a group of customers to be a ‘segment.’ Each segment must be: Measurable Different enough to warrant changes in the marketing mix

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