Steps in Target Marketing

Given figure shows the three major steps in target marketing. First one is market segmentation- dividing a market into minor groups of buyers with distinct requirements behaviours or characteristics who might need separate products or marketing mixes. The company recognizes different ways to segment the market and develops profiles of the resulting market segments. Next one is market targeting-evaluating each of the market segment's attractiveness and choosing one or more of the market segments to enter. Last one is market positioning-setting the competitive positioning for the product and making a detailed marketing mix. We discuss each of these steps in turn.