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Chapter 5
S-T-P = Segmentation – Targeting – Positioning
Example:
If I want to launch a new perfume brand in UAE. It launched a luxury category women's
perfume with a 100ml bottle priced at 800 AED. The best choice age is from 20 to 40.
Because they earn money through jobs and they can make an effort of 800 dirhams
[price perfume]. So we choose the gender first, then we determined which category of
women [UAE Nationality and Arab women] after that age, and this is called
segmentation and targeting.
Segmentation: grouping the customer based on some common factor such as age\
gender\ nationality.
Why we segmentation? because customers with similar age/similar gender will have
similar NEEDS. It will be easy to offer a product which will be accepted by most in the
segment.
Marketing segmentation: divide a big market into a number of smaller

supermarket that have a common feature.
Objective of market segmentation is to identify group of potential (future) customers.
We should start with segmentation to have a successful marking strategy.
Segmenting Consumer Markets:
Behavioral – benefit sought, beliefs, usage
Psychographic – lifestyle, personality
Profile – social economic, demographic, geographic

Five criteria to successful segmentation:
1. Measurable – able to count the customer

2. Accessible – able to contact with customer
3. Actionable – able to do business, legally
4. Profitable – future customer should able to pay the price in which you can make
profit
5. Effective
Targeting market: choice the best possible segmentation (one – two – few) not all,
expectation few brand like Pepsi, Coca cola, Al Ain water.
Target Marketing Strategies:
 Undifferentiated marketing: one product\price\place\promotion to all

customers. Like Saha eggs, Al Ain water
 Differentiated marketing: few different (marketing mixes (few different
brands/products, in few different price ranges, with few different places and
promotions). Like Toyota has Lexus for high price luxury segment, medium price
and high performance segment, for low price medium performance segment.
 Customized marketing: one special product for one customer. This is high price
product. Like When you go to a boutique and ask them to make a special design
for your new abaya.
Positioning: getting top of the mind awareness and unique position for your
brand in the minds of customers.
Developing a Positioning Strategy:
1. Customer – find out what is important to the customers

2. Competitor – what customer is already getting from our competitor product
3. Company – offer something unique to customer to get higher position in the
mind of customers.
Perceptual map helps us find the position of a brand in the minds of customers based on
two factors (price and range)
The key steps in producing a perceptual map are:
1. Identify a competing brands

2. Identify the important attributes consumers use when choosing between brands
3. Conduct marketing research
4. Plot brands on a two-dimensional map
Example of perceptual map:
LULU – low price + wide product range
Safeer market – low price + narrow product range
Carrefour – high price + wide product range
Spinneys – high price + narrow product range
Repositioning:
Horlicks is the example.
The many years back Horlicks was introduced as a liquid food for sick and old people
who could not eat food properly. the market of sick and old people was small so Horlicks
wanted to change its position in the minds of the customers. Horlicks wanted to increase
sales so Horlicks started giving advertisements where growing up boys and girls were
shown drinking Horlicks and growing taller fast. this changed the position of Horlicks.
now it was seen as a health drink for kids (a bigger market).
TO increase more business Horlicks once again repositioned, now it started showing not
only the kids but also the parents drinking Horlicks for a healthy life. Horlicks was a
health drink for all in the family. so Horlicks repositioned two times to increase its sales.
Repositioning: is a changing the position in the minds of customers to get new

customers.
Good luck girl. Do best

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Chapter 5

S-T-P = Segmentation – Targeting – Positioning

Marketing segmentation: divide a big market into a number of smaller

Objective of market segmentation is to identify group of potential (future) customers.

We should start with segmentation to have a successful marking strategy.

Segmenting Consumer Markets:

Behavioral – benefit sought, beliefs, usage

Psychographic – lifestyle, personality

Profile – social economic, demographic, geographic

1. Measurable – able to count the customer

Target Marketing Strategies:

 Undifferentiated marketing: one product\price\place\promotion to all

Developing a Positioning Strategy:

1. Customer – find out what is important to the customers

The key steps in producing a perceptual map are:

1. Identify a competing brands

Example of perceptual map:

LULU – low price + wide product range

Safeer market – low price + narrow product range

Carrefour – high price + wide product range

Spinneys – high price + narrow product range

Horlicks is the example.

Repositioning: is a changing the position in the minds of customers to get new

Good luck girl. Do best

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