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2021 | OriginalPaper | Buchkapitel

7. Market Segmentation, Positioning, and Branding

verfasst von : Michael R. Czinkota, Masaaki Kotabe, Demetris Vrontis, S. M. Riad Shams

Erschienen in: Marketing Management

Verlag: Springer International Publishing

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Abstract

Markets can be defined in a number of ways, but for a marketer, the key definition is in defining who the customer is. Even so, there are different categories: (1) customers, (2) users, and (3) prospects. This categorization leads to the concepts of penetration and brand (market) share.

Within markets, there may be segments, which a producer may target to optimize the use of scarce resources. The viability of these segments depends on (1) size, (2) identity, (3) relevance, and (4) access. The identification of market segments requires a number of activities including (1) background investigation, (2) qualitative research, (3) quantitative research, (4) analysis, (5) implementation, and (6) segmentation/positioning. A major aid to positioning is usually offered by two-dimensional maps based on the two most critical dimensions identified by statistical analysis.

Branding is the most powerful marketing device for differentiation, which may, in effect, create a near monopoly. Once established, a brand name has a strong brand equity. Branding policies may be based on (1) company name, (2) family branding, and (3) individual branding. These policies may be developed further by brand extensions and multibrands, but this approach may be limited by cannibalism. Cobranding by companies that market complementary products helps fill market segments not met by them individually. Private brands and generic brands are also becoming increasingly important in price-sensitive markets.

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Vorheriges Kapitel Estimating the Market Demand

Nächstes Kapitel Product and Service Decisions

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