1.1 LEARNING OBJECTIVES
LO 6-1 Explain the criteria for effective segmentation.
LO 6-2 Identify the various approaches to market segmentation.
LO 6-3 Describe the steps in target marketing.
LO 6-4 Define positioning and link it to the use of the marketing mix.
LO 6-5 Use and interpret perceptual maps.
LO 6-6 Identify sources of differentiation.
LO 6-7 Avoid potential positioning errors.
LO 6-8 Define CRM and articulate its objectives and capabilities.
LO 6-9 Describe the CRM process cycle.
LO 6-10 Understand the concept of customer touchpoints and why touchpoints are critical in
CRM.
1.2 Chapter Outline
I. FULFILLING CONSUMER NEEDS AND WANTS
II. WHAT IS SEGMENTATION?
Criteria for Effective Segmentation
III. SEGMENTING CONSUMER MARKETS
Geographic Segmentation
Demographic Segmentation
Age
Generational Group
Gender
Family and Household
Race and Ethnicity
Income
Occupation
Education
Social Class
Geodemographics
Psychographic Segmentation
Behavioral Segmentation
Benefits Sought
Usage Patterns
Firms use Multiple Segmentation Approaches
Simultaneously
SEGMENTING BUSINESS MARKETS
IV. TARGET MARKETING
Analyze Market Segments
Segment Size and Growth Potential
Segment Competitive Forces
Strategic Fit of the Segment
Develop Profiles of Each Potential Target Market
Select a Target Marketing Approach
Undifferentiated Target Marketing
Differentiated Target Marketing
Concentrated Target Marketing
Customized (One-to-One) Marketing
V. POSITIONING
Perceptual Maps
Sources of Differentiation
Positioning Errors
VI. OBJECTIVES AND CAPABILITIES OF CRM
VII. THE CRM PROCESS CYCLE
Knowledge Discovery
Marketing Planning
Customer Interaction
Analysis and Refinement
VIII. MORE ON CUSTOMER TOUCHPOINTS
CRM Facilitates a Customer-Centric Culture
I SUMMARY