GB 214 Marketing Chapter 4

Content Marketing
The strategy of establishing thought leadership in the form of bylines, blogs, commenting opportunities, videos, sharable social images, and infographics
Market Fragmentation
The creation of many consumer groups due to a diversity of distinct needs and wants in modern society
Target Market Strategy
Dividing the total market into different segments on the basis of customer characteristics, selecting one or more segments, and developing products to meet the needs of those specific segments
Segmentation
The process of dividing a larger market into smaller pieces based on one or more meaningful characteristics
Segmentation Variables
Dimensions that divide the total market into fairly homogeneous groups, each with different needs and preferences
Generation Y
The group of consumers born between 1979 and 1994
Demographics
Statistics that measure observable aspects of a population, including size, age, gender, ethnic group, income, education, occupation and family structure
Generational Marketing
Marketing to members of a generation, who tend to share the same outlook and priorities
Millennials or Generation Z
The group of consumers born after 1994
Generation X
The group of consumers born between 1965 and 1978
Baby Boomers
The segment of people born between 1946 and 1964
Metrosexual
A straight, urban male who is keenly interested in fashion, home design, gourmet cooking, and personal care
Cultural Diversity
A management practice that actively seeks to include people of different sexes, races, ethnic groups, and religions in an organization’s employees, customers, suppliers, and distribution channel partners
Geographic Segmentation
An approach in which marketers tailor their offerings to specific geographic areas because people’s preferences often vary depending on where they live
Geographic Information System (GIS)
A system that combines a geographic map with digitally stored data about the consumers in a particular geographic area
Geodemography
A segmentation technique that combines geography with demographics
Geotargeting
Determining the geographic location of a website visitor and delivering different content to that visitor based on his or her location
Micromarketing
The ability to identify and target very small geographic segments that sometimes amount to individuals
Psychographics
The sue of psychological, sociological, and anthropological factors to construct market segments
VALS (Values and Lifestyles)
A psychographic system that divides the entire U.S. population into eight segments
Game Segment
A consumer segment that combines a psychographic/lifestyle component with a heavy dose of generational marketing
Badge
A milestone or reward earned for progressing through a video game
Behavioral Segmentation
A technique that divides consumers into segments on the basis of how they act toward, feel about, or use a good or service
80/20 Rule
A marketing rule of thumb that 20% of purchasers account for 80% of the products sales
Usage Rate
A measurement that reflects the quantity purchased or frequency of use among consumers of a particular product or service
Long Tail
A new approach to segmentation based on the idea that companies can make money by selling small amounts of items that only a few people want, provided they sell enough different items
Usage Occasions
An indicator used in behavioral market segmentation based on when consumers used a product the most
Targeting
A strategy in which marketers evaluate the attractiveness of each potential segment and decide in which of these groups they will invest resources to try to turn them into customers
Target Market
The market segment on which an organization focuses its marketing plan and toward which it directs its marketing efforts
Segment Profile
A description of the “typical” customer in a segment
Undifferentiated Targeting Strategy
Appealing to a broad spectrum of people
Differentiated Targeting Strategy
Developing one or more products for each of several distinct customer groups and making sure these offerings are kept separate in the marketplace
Concentrated Targeting Strategy
Focusing a firm’s efforts on offering one or more products to a single segment
Customized Marketing Strategy
An approach that tailors specific products and the messages about them to individual customers
Mass Customization
An approach that modifies a basic good or service to meet the needs of an individual
Positioning
Developing a marketing strategy to influence how a particular market segment perceives a good or service in comparison to the competition
4 Elements of Positioning Decision Making process
1. Analyze Competitor’s Positions
2. Define Your Competitors Advantage
3. Finalize the Marketing Mix
4. Evaluate Responses and Modify as Needed
Re-positioning
Redoing a product’s position to respond to marketplace changes
Retro Brands
A once-popular brand that has been revived to experience a popularity comeback, often by riding a wave of nostalgia
Brand Personality
A distinctive image that captures a good’s or service’s character and benefits
Perceptual Map
A technique to visually describe where brands are “located” in consumer’s minds relative to competing brands
MY VAL TYPE
Primary Type: Experiencer
Secondary Type: Innovators

“Your primary VALS type means that you are most like the Experiencers consumer group. Your secondary type—the group you are next most like—is Innovators.

Your primary VALS type represents your dominant approach to life. The secondary type represents a particular emphasis on the dominant approach.”