Meaning of Targeting market
Target marketing is focusing one's marketing efforts to one or more selected market segments. It involves developing separate marketing mixes for each segment that is selected as target market.
Definition of targeting market
According to Phillip Kottler:- A target market involves evaluating each market segment's attractiveness and selecting any one or more segments to enter.
Importance of targeting market
- understanding customer needs
- Suitable Marketing mix
- Differentiation
Types of Targeting Strategies
1) Undifferentiated targeting strategy
• Designs a single marketing mix and directs it at the entire market for a particular product
• Effective for homogenous markets
2) Concentrated targeting strategy
• Targets a single market segment using one marketing mix
3) Differentiated targeting strategy
Targets two or more segments by developing a marketing mix for each segment
Types of Targeting Market
1) single segment concentration:- In single segment concentration a firm focuses one product for one market segment only and it helps it to establish a strong market presence for that product.
2) Market Specialization:- In selective specialisation a firm focuses different products for different markets. Like HUL offers different kind of products to different market segments.Market Specialization is focused on satisfying a range of needs of a particular market Segment.
3) Selective segment Specialization:- In product specialisation the firm sells a particular product to the different segments of the market. Like Colgate offers tooth pastes to different segments, it offers different tooth pastes for kids, youngsters, for people having sensitive teeth, etc.In Selective Specialization, firms select a number of segments, each.objectively appropriate Segment and attractive.asper the firm's resources and objective.
4)Product Specialization:- In market specialisation the firm offers different products to the same market. Like again Colgate offers toothpastes, tooth brushes, mouth washes, etc for oral care market.
5) Full Market coverage:- In this case the firm offers all the products to all the market segments. Like Maruti offers cars for almost all the segments of the market.
ADVANTAGE OF TARGET MARKETING
- Product positioning and easy identification of opportunities
- Easier analysis of potential and actual consumers
- Tailoring of products to market
- Identify competing products
- Increased sales effectiveness and cost efficiencies
DISADVANTAGE OF TARGET MARKETING
- Increased marketing costs
- Personalization can become burden some to manage
- Narrow segmentation can impact brand loyalty
- Ethics and stereotyping issues
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