Prof. Alon Rozen ENPC School of International Management Fundamentals of Marketing Winter 2009

Segmentation, Targeting, and Positioning

Market segmentation: dividing a market into distinct groups with distinct needs, characteristics, or behaviors, who might require separate products or marketing mixes Target marketing: choosing which group(s) to appeal to Market positioning: creating a clear, distinctive, and desirable position in the target consumer’s mind, relative to competition

Prof. Alon Rozen / Fundamentals of Marketing


Market Segmentation (B2C)

The process of identifying distinct groups of consumers whose purchasing behavior differs from other groups in important ways
 Geographics  Demographics  Psychographics (aka IAO variables - Interests,

Attitudes and Opinions)  Behavioral segmentation  Socio-cultural  …

Firms adjust their marketing mix to meet the particular needs of different market segments
Prof. Alon Rozen / Fundamentals of Marketing


Geographic segmentation
Catchment zones
Example: 1st Paris Est 2nd Paris Intra muros
1st 2nd 3rd

3rd Ile-de-France

Prof. Alon Rozen / Fundamentals of Marketing


Market Segments (examples)

Example segment categories:
 Age-based: babies, toddlers, kids, teens, young adults, adults,    

seniors, boomers, generation X, Millenials, generation Z Price-based: hard discount, discount, economy or value, midmarket, upper-middle, high-end, luxury, super luxury… Socio-economic criteria: NYLONs, Yuppies (BCBG), DINKs, … Lifestyle-based: BoBos, Grups, tweeners, silvers, athletes, weekend sportsman, social drinkers, smokers, students, … Behavior-based: gamers, Soccer Moms, Denim Dads (men who choose family over work); Karma Queens (women who appreciate material pleasures but are in harmony with the universe); Innerpreneurs (managers of their own brand who find inspiration within themselves), on-line shoppers, early adopters, zappers, …...