Organization macro-environment factors: 1. Economic factors: GDP growth, strengthening of the national currency, etc. 2. Technological factors: innovative idea, streamlined production process. 3. Demographic factors: Trends in the dynamics of the number and age and sex composition of the population 4. Socio-cultural factors: the trend of increasing attention to one's health and appearance, the forecast for an increase in consumption.

1.3. Segmentation analysis of the market

Segmentation involves the selection and service of a certain group of consumers in the market, it allows you to modify the characteristics of the product in accordance with the needs of potential consumers, more accurately determine the market capacity, conduct targeted targeted advertising, and ultimately creates the basis for developing a market strategy for the company. Segmentation is not easy, as it requires a high level of market knowledge.

Let's carry out a segmentation analysis of the P&G company's market and, for clarity, present it in the form of a table (see Table 2).

Segmentation signs:

geographic feature (size of the region, population density, etc.);

demographic characteristics (age, gender, etc.);

behavioral (the desired benefit);

psychographic or psychophysical (social class, lifestyle or personality characteristics);

socio-economic

Table 2. P&G market segmentation analysis

The table describes the main segments with which the company operates. These groups of consumers allow the company to most quickly recoup the costs of production and marketing of products.

Conclusions to the analytical part

P&G Russia is the largest distributor of environmentally friendly products that keep consumers healthy. The organizational structure of the management system of this organization is a linear-functional structure that allows to improve the coordination of activities in functional areas, increase the efficiency of the organization's production response, and reduce duplication in functional areas.

Main distribution channels for products:

Shopping centers. For the consumer, the advantage of shopping in the shopping center is the ability to buy everything you need in one place.

Distributor network. The main way to sell Amway products is through distributors. This distribution channel accounts for more than 50% of sales

Electronic sales. Aimed at innovative buyers and brand stalwarts. Therefore, the share of electronic sales is less than 10%.

This chapter describes all segments with which the company operates. It is very difficult to satisfy the needs of all consumers without exception, as they have certain differences in needs. It is necessary to segment the market. With the help of segmentation, certain types of potential consumers are selected from the total number of potential consumers, i.e. market segments that have more or less homogeneous requirements for the product. It is on these market segments that the production and sale of goods should be oriented. The efficiency of the company's activity, the volume of the market share occupied, and, accordingly, profit depend on the correct choice of the segment.

CHAPTER 2. Scientific and methodological part. Scientific and methodological foundations of the organization and planning of the project

2.1 The concept and main features of market segmentation

Market segmentation is, on the one hand, a method for finding parts of the market and determining the objects to which the marketing activities of enterprises are directed. On the other hand, it is a managerial approach to the decision-making process of an enterprise in the market, the basis for choosing the right combination of marketing elements.

The objects of segmentation are, first of all, consumers. Highlighted in a special way, having certain common features, they constitute a segment of the market. The main focus of marketing is on finding homogeneous groups of consumers who have similar preferences and respond in the same way to marketing offers.

The concept of "market segmentation" appeared in the United States in the 1950s.

Segmentation allows the company to correctly form a marketing mix aimed at the consumer, since incentives must be adequate to his behavior.

Segmenting the market, the company pursues the following goals:

maximum consideration of the desires and preferences of consumers;

Ensuring the competitive advantages of the product and the company;

optimization of company costs;

Improving the effectiveness of the company's marketing strategies;

Care in segments free from competitors (market windows).

A market window is an unoccupied segment of consumers whose needs are not adequately satisfied by existing products.

The part of the segment, consisting of consumers for whom the product produced by this enterprise is best suited to meet their needs, is called a market niche.

For the successful implementation of the principles of segmentation are the following conditions:

the ability of an enterprise (organization) to differentiate the marketing structure (prices, methods of sales promotion, places of sale, products);

· the selected segment should be sufficiently stable, capacious and have growth prospects;

The enterprise must have data on the selected segment, measure its characteristics and requirements;

· the selected segment must be accessible to the enterprise, i.е. have appropriate channels for the sale and distribution of products, a system for the delivery of products;

the enterprise must have contact with the segment (for example, through personal and mass communication channels);

· evaluate the protection of the selected segment from competition, determine the strengths and weaknesses of competitors and their own advantages in the competition.

Thus, only with a sufficient study of the selected segment and having assessed its own potential, the manufacturer can decide on the choice of the segment.

Market segmentation can be done using various criteria. Their number and content depend on the scope and scale of the enterprise, as well as on the characteristics of the products, and its purpose.

So, for the segmentation of the consumer goods market, the main criteria (features) are: geographical, demographic, socio-economic and psychophysical.

Geographic features include: the size of the region, population density and size, climatic conditions, administrative division (city, village), remoteness from the manufacturer. In other words, this criterion determines the space of the enterprise.

Demographic characteristics include: age, gender of consumers, family size and life cycle, number of children, etc. When segmenting the market according to demographic criteria, it is necessary to focus on the commonality of the specific requests of the corresponding segment for quality, assortment and price.

Segmentation according to the socio-economic criterion consists in the selection of consumer groups based on the commonality of social and professional affiliation, level of education and income. All these features are usually considered in conjunction with each other or with features of other criteria, such as demographic.

The psychophysical criterion is of particular interest to researchers, because unlike the others, it is subjective and specific, provides very important additional information and, in some cases, is the decisive factor that prompts a person to make a purchase or use the service offered to him.

The reaction of consumers to innovations, the degree of need for a product, the motives of consumer behavior characterize the reaction of buyers to a particular product much more accurately than accurate quantitative estimates of market segments by geographical or demographic characteristics. So, based on the purchase, consumer groups are distinguished with a focus on low price, long service life of the product, high quality, commitment to a certain brand of goods.

According to the reaction of consumers to innovations, such groups are distinguished as:

innovators - acquirers new product at the time of its appearance on the market;

quickly adapting to a new product, acquiring a new product after innovators buy it and report their experience;

a consumer slowly adapting to a new product, acquiring a product that has been on the market for a long time;

conservatives who reject the novelty.

Important factors of the psychophysical criterion are also the degree of need for the product (weak, strong, medium) and the degree of use or level of consumption of the product. This transition to market segmentation, based on identifying a part of the population with a high or low rate of consumption of a product, is based not on the cause, but on the effect.

Since P&G products are consumer goods, Chapter 1 reflected and analyzed the above criteria for market segmentation.

2.2 Rationale for choosing a market segment in the organization

Target market decisions are strategic. Target segments are evaluated according to certain criteria, a set of which each organization chooses based on their significance in a given period of time. A criterion is a way to assess the validity of choosing a particular market segment for an enterprise as a target. The most common criteria for selecting a target segment are the following:

Dimensions (capacity) of the segment. The capacity of a market segment can be determined using various indicators: the total number of products (in physical terms) sold over a certain period of time (month, year); total sales (in value terms) for any period of time (year) or for the entire life cycle of the product; segment shares in the total potential market capacity (in %); the total number of potential consumers, etc. The market segment with the highest quantitative parameters can be selected as the target.

Availability of the segment for the enterprise. The degree of accessibility of a market segment is characterized by the ability of an enterprise or firm to obtain distribution and marketing channels for products, favorable conditions for transporting products to consumers, as well as warehousing and storing products in this market segment. The management of the enterprise must determine whether there are a sufficient number of marketing intermediaries or own sales points in this market segment to promote their products to the final consumer, what is the capacity of the existing distribution network, is it capable of ensuring the sale of the entire volume of products intended for this group of consumers, what is the state of transport networks (are there roads, cargo handling facilities, access roads, etc.). Answers to these questions provide the company's management with the information necessary to decide whether the conditions are ripe enough to start promoting their products in this market segment, or whether additional efforts, time and money still have to be spent on forming their own distribution network, on establishing relations with intermediary trading companies, for equipment of warehouses, etc. As the target segment, the one with which it is easiest to start promoting your product is selected, i.e. from a segment that, by most parameters, has greater accessibility.

Segment perspective. It is important for the company that the selected market segment represents a truly significant part of the sales market and is sustainable, i.e. continued to be so in the future. The management of the enterprise needs to find out whether this market segment is growing, stable or decreasing in terms of its capacity, in terms of the number of potential consumers, whether it is worth focusing its production facilities on it or over time it will need to be re-profiled to another market. The target can only be a growing segment of the market.

Segment profitability or profitability. Based on this criterion, it is determined how profitable it will be for an enterprise or firm to work in this market segment. Typically, typical methods for assessing the financial attractiveness of a business are used here: the rate of return (usually calculated on net profit, although any of the nine main indicators of profit can in principle be used), return on invested capital, increase in the mass of profit, capitalization of the company, return on assets, own (share) capital and even the amount of dividends per share. It all depends on the specifics of the company and its strategic settings. The target will be the segment with the best financial performance, the set of which is determined by the management of the enterprise or firm.

Compatibility of the segment with the market of the main competitors and protection of the segment from competition. When using this criterion, the management of an enterprise or firm should receive answers to the following questions: To what extent are the main competitors ready to give up part of the selected market segment? How much will promoting the product here affect their interests? If the main competitors are seriously concerned about the promotion of your company's products in the selected market segment and take appropriate measures to protect it, then be prepared to incur additional costs when targeting such a segment or look for another, less interesting and attractive for your competitors, where "press » Competition and competitive retaliation will be weaker.

Efficiency in the selected market segment. This criterion means, first of all, checking whether the enterprise has the proper experience in the selected market segment, assessing how much engineering, design, production and sales personnel are ready to refine the product in accordance with the needs and requests of this consumer group and promote the product in this segment, how much he is ready to compete. The management of the enterprise should also decide whether it has sufficient resources to operate in this market segment. The choice of the target segment in accordance with this criterion is usually carried out on the basis of the “cost-benefit” approach, which is widely known in system analysis, when it is assessed in a complex whether the game (in this case, the market segment) is worth the “tank” (i.e., the aggregate resources spent today and tomorrow).

Compliance of the selected segment with the mission and goals of the company. It is very important that the work in the selected market segment is in line with the strategic goals and core competencies of the enterprise or firm. The company should be able to work in this segment of the market for the future, making the most of its technological, production and human resources potential. Therefore, when choosing a target market segment, it is necessary to compare its characteristics with the company's strategic goals, its main goal (mission) in the market.

It is important to remember that only in rare cases it is possible to determine the target segment using a single criterion. A target segment for an enterprise or firm can be selected as such according to several criteria (not necessarily all), which the company considers to be the most significant in a given period of time.

The success of a marketing strategy is determined primarily by the amount of information (mainly information about the CGP) that the organization has. More capacious information makes it possible to develop the most appropriate marketing policy. Therefore, in addition to market segmentation, organizations carry out profiling of market segments - a complete description of market segments. The characteristics that are used in this are called segmentation descriptive variables. Descriptors can describe the characteristics of buyers or their behavior towards a product. In fact, the fuller and broader the picture, the better.

Segment description is thus carried out in two stages: first, base variables are applied, by means of which buyers are distributed among segments, and then descriptors are used, which help to build segment profiles.

One of the most common profiling techniques was first applied to cataloging. This customer segmentation method, commonly referred to as RFM, is based on buying behavior. The method is mainly used to improve the effectiveness of marketing aimed at real customers. This is a very powerful tool that boils down to creating segments based on three characteristics:

Prescription. This characteristic indicates the number of months (weeks, days, etc.) that have passed since the date of the last purchase. Retirement is most important in predicting the response to a subsequent offer. This seems quite logical. If you've recently purchased something from a company, then you're more likely to make another purchase than a customer who hasn't bought in a while.

Cash value. This characteristic reflects the total amount of funds spent by the client. Like frequency, it can either apply to a specific time period or include all purchases. Of the three characteristics, monetary value is the least predictive of response. But when used in combination with other metrics, it can increase customer understanding.

2.3 Product positioning and market segmentation as linking processes

Product positioning in the market logically continues the implementation of the marketing approach after market segmentation, segment profiling and target segment selection. It may be that there is already a competitor in this segment; then the firm must provide a better quality product and start fighting for market share. Another option is to make your product stand out from your competitor's product.

Positioning a product in the market is an action to ensure a competitive position in the market for a product. Which market segment will this product serve? How does it differ from similar competitor products? The company answers these questions by positioning the product.

Product positioning makes it possible to develop a comprehensive marketing program that includes a specific type of product, packaging, warranty, price and discounts from it, the possibility of credit, distribution methods (wholesale or retail, sale through intermediaries or own agents), advertising.

Having determined the target segment, the enterprise must identify all the products offered to this segment in order to find a profitable place (position) for its product, ensure its competitiveness and develop an appropriate marketing mix.

Position - this is the prevailing perception of consumers of the target segment about the most important properties of the goods offered. Positioning tasks - to study the opinions and preferences of consumers regarding existing products, and to identify the criteria by which consumers evaluate them.

Positioning steps:

Identification of all products offered to consumers. The company must know exactly what products and at what prices are offered to the target segment and how competitors are promoting these products.

Determination of the most important characteristics of the product from the point of view of consumers. It is necessary to conduct research and find out which characteristics of the product are most important to consumers.

Building a map (scheme) of positioning. The enterprise must find out how consumers evaluate the degree to which the most important characteristics for them are implemented in the goods offered by competitors.

Finding and securing a desirable position for your product in the eyes of consumers.

After segmenting the market, a detailed analysis of its segments and selecting the target segment, the organization faces the question of choosing the optimal positioning of the product. Positioning includes a set of marketing elements with the help of which it is necessary to convince people that we are talking about a product created specifically for them. For this, various approaches and methods are used. For example, positioning based on certain advantages of the product, based on the satisfaction of specific needs or special use; positioning through a certain category of consumers who have already bought a product, or by comparison, etc. Naturally, positioning cannot be associated with misinformation and deception of the consumer if the manufacturer works for a long-term perspective and a conscientious business.

The last stage of the market segmentation process is the development of a marketing plan or complex (marketing mix): product, price, distribution, promotion.

Conclusions to the analytical part

Segmentation is the basis for developing a marketing program targeted at specific consumer groups. The segmentation process consists of several successive stages: the choice of methods and implementation of segmentation, profiling of market segments, selection of target market segments, product positioning and development of a marketing plan.

Market segmentation is a method for finding parts of the market and determining the objects to which the marketing activities of the enterprise are directed. Market segmentation can be carried out using criteria (features): geographical, demographic, socio-economic, psychophysical. Further, a more thorough analysis is carried out - profiling market segments. Based on the analysis of the information received, the target market segment is selected. The criteria for selecting the target segment are: the size (capacity) of the segment, the availability of the segment for the enterprise, the prospects of the segment, the profitability or profitability of the segment, the compatibility of the segment with the market of the main competitors and the protection of the segment from competition, the efficiency of work in the selected market segment and the compliance of the selected segment with the mission and goals companies. Product positioning in the market logically continues the implementation of the marketing approach after market segmentation, segment profiling and target segment selection. Positioning a product on the market is an action to ensure a competitive position in the market for a product (i.e., the development of a specific type of product, packaging, guarantee, price and discounts from it, the possibility of credit, methods of distribution, advertising). The final step in the market segmentation process is the development of a marketing plan or mix.

Chapter 3. Design part. Selection of the target market segment and product positioning on the example of P&G

3.1 Selecting a target market segment

To analyze the product market, it is necessary to use the results of macro- and micro-segmentation of the market. It involves the implementation of the following stages of work.

Stage 1. Macrosegmentation. It involves dividing the underlying market into separate commodity markets (macro-segments), for which it is necessary to determine the segmentation variables and build a segmentation matrix (grid).

Variables for macrosegmentation can be defined in different ways. As a rule, at the first stage (macro level), market segmentation is recommended taking into account three criteria:

functions (or solutions to satisfy a basic need);

consumer groups;

technologies.

The search and use of non-traditional segmentation methods can lead to the identification of new high-margin target segments and gain a noticeable advantage over competitors. The end result of the first stage is the formation of a segmentation matrix, on the basis of which it is possible to determine a strategy for covering market segments, as well as identify new potential segments.

Stage 2. Microsegmentation. The process of micro-segmentation analysis involves the implementation of four main steps:

Step 1. Segmentation analysis: involves dividing the product market into different groups of potential buyers who have similar requests (homogeneity condition) that differ from consumer requests from other segments (heterogeneity condition).

Step 2. Selecting the target segment: carried out taking into account the strategic ambitions and distinctive capabilities of the company.

Step 3. Market positioning: involves deciding how the company should be perceived by potential buyers, taking into account the differences between its products and the positions of competitors.

Step 4. Development of a marketing program: aimed at achieving the desired position in the target segment(s).

Marketing segmentation reveals the possibilities of various market segments in which the seller has to act. After that, the firm needs to decide how many segments to cover and how to determine the most profitable segments for it.

Consider three options for market coverage. A firm can use three market coverage strategies: undifferentiated marketing, differentiated marketing, and concentrated marketing.

undifferentiated marketing. Perhaps the firm will decide to ignore the differences in segments and address the entire market at once with the same offer. In this case, it focuses not on how the needs of clients differ from each other, but on what these needs have in common. It develops a product and marketing program that will appeal to as many customers as possible. It relies on methods of mass distribution and mass advertising. The company seeks to give the product an image of superiority in the minds of people.

Undifferentiated marketing is economical. The cost of producing, distributing and advertising a product is low. Firms that use undifferentiated marketing usually create a product designed for the largest markets.

Differentiated Marketing. In this case, the company decides to act on most or even all segments and develops a separate offer for each of them. By offering the right products for each segment, it hopes to achieve sales growth and deeper penetration into each of the market segments. The company expects that by strengthening its position in several market segments, it will be able to identify in the mind of the consumer a company with this product category, and hopes for an increase in repeat purchases.

Concentrated Marketing. Many firms also see a third marketing opportunity that is especially attractive to organizations with limited resources. These firms concentrate their efforts on one or more market segments. In the service segment, the firm knows the needs of customers better than others and enjoys a certain reputation. As a result of specialization in the field of production, distribution and sales promotion, the firm achieves resource savings.

Concentrated marketing is associated with an increased level of risk. A selected segment of the market may not meet expectations, for example, consumers may stop buying a product of the proposed type. As a result, the firm will suffer big losses.

Choosing a market coverage strategy. When choosing a market coverage strategy, the following factors should be considered:

Company resources. With limited resources, the most rational strategy is concentrated marketing;

The degree of product homogeneity. An undifferentiated marketing strategy is suitable for uniform commodities such as wheat or steel. For products that may differ in design, such as cameras and cars, differentiated or concentrated marketing strategies are more appropriate;

Stage of the product life cycle. When a company enters the market with a new product, it is advisable to offer only one version of the novelty. At the same time, the most effective strategies are undifferentiated or concentrated marketing;

Degree of homogeneity of the market. If buyers have the same tastes, they buy the same amount of goods in the same periods of time and respond in the same way to the same marketing incentives, it is appropriate to use an undifferentiated marketing strategy;

Marketing strategies of competitors. If competitors are engaged in market segmentation, the use of an undifferentiated marketing strategy can be disastrous. If competitors use undifferentiated marketing, the firm may benefit from using concentrated or differentiated marketing.

The first stage of the P&G market segmentation analysis, namely the macro segmentation of the market, gave the following results: the main function of the company is to satisfy three groups of buyers in the general age range from 20 to 45 years old in need of effective washing without danger to health for themselves and others while preserving the color of the fabric. Directions for the implementation of this approach are: the prevention and elimination of stains and the protection of the color of fabrics.

The transition to the second stage of market segmentation was the allocation of 3 market segments, to meet the needs of which the activity of this organization will be directed. Turning to micro-segmentation, before identifying the target market segment, an analysis of market coverage strategies was carried out, which showed that the most successful strategy for the company is the strategy of concentrated marketing. The determining conditions for choosing this path were:

) low price sensitivity of consumers, since the products of this organization are manufactured using the latest technologies, which subsequently determines it as a luxury product with a fairly high price category;

) high sensitivity to quality;

) the presence of a group of consumers with unmet needs; (Mass household chemicals, which practically exclude the presence of natural ingredients in the compositions, cannot fully satisfy the desire of buyers to get rid of their contaminants on fabrics. Mass household chemicals can only “hide” with fragrances such moments as the ingrained smell of sweat, which can cause severe allergic reaction The amount of powder needed for washing greatly exceeds the amount of powder of Amway LLC, and accordingly the amount of chemical elements used in washing is also exceeded.)

) high solvency of clients;

) the presence of "know-how".

Once the market segmentation is complete, a target segment must be selected to focus on serving the segment that promises the most profit in the present and future. To do this, the analysis will compare the selected segments identified in the segmentation analysis of the market. For clarity, the results of the analysis will be placed in table 3. The comparison will be carried out on a 5-point scale

Analysis of selected segments by criteria:

Segment size. To determine the capacity of the segment, it is necessary to determine the number of potential consumers of this product living in the area of ​​the market. The total number of inhabitants of Moscow is ~ 13 million people, the capacity of the consumer market is 7 million people. Accordingly, taking into account that the percentage of the three selected segments is approximately the same (since they fall into the working-age population), then, accordingly, the awarded score will be the same, equal to 5.

Territorial scale. The activity of Amway LLC extends to the market of the whole country, therefore the awarded score is 5.

Availability. The main ways of selling the products of this organization: distributors and an electronic store. In accordance with this, we can take the degree of accessibility of these segments as the same and assign a score of 5.

Segment perspective. The prospects of a segment are determined by the dynamics of consumption of goods by this segment. The active use of highly effective clothing care products begins at the age of 30, which may be due to both the increase in incomes of buyers in this age group, and a noticeable manifestation of health changes. Consumers aged 41-50 use and buy home care products more than women in other age groups. In this age group, the share of those who buy quality products at least once a month is 69% - against 24% for women in the age group of 31-40 years and 7% for women aged 18-30 years. Accordingly, points will be distributed as follows: segment A) receives 1 point, segment B) - 3 points, and segment C) - 5 points.

Correspondence between products and customer needs. The main requirements imposed by consumers are: product quality, efficiency of application, manifestation of the result for short time, ease of use. Product quality is most important for consumer groups over 35 years old (72%), the effectiveness of the application is equally important for all groups, and the speed of the effect is the most important factor for buyers of the age group from 18 years old (68%). In accordance with this, the points between the segments will be distributed as follows: segment A) gets 3 points, segment B) - 2 points, and segment C) - 4 points.

Profitability. For clarity of measurement, we calculate the rate of return for each segment as a percentage. Since the volumes of the segments are equal, the main indicator will be the volume of consumption of each segment. Thus, the points will be distributed as follows: segment A) gets 1 point, segment B) - 3 points, and segment C) - 5 points.

Attractiveness to competitors. Despite the fact that consumers experience high loyalty to the funds of this company, there is an option to use P&G funds and mass market products.

Table 3. Rationale for P&G's choice of target market segment

An analysis of P&G's market segments showed that the most promising segment is the segment that includes buyers over the age of 40. We choose it as the target segment.

3.2 Profiling the target market segment

The study showed that household chemicals are intended for different groups of consumers: both those who love novelties and those who are conservative. The main buyers of the products are women/men over 40 years old with an average income level, who place great demands on products, namely versatility, ease of use, high quality at a reasonable price. In addition to quality characteristics, the consumer also appreciates the aesthetic properties of products. Convenient memorable packaging, bright design - all this meets the tastes of the most biased customers.

3.3 P&G position analysis

To develop a successful product positioning program in the selected market segment, an analysis of this segment was carried out, on the basis of which a product offer will be developed that best meets the needs, requirements and behavior of this group.

At this stage, we will compile a matrix of the desired benefits of the product, which will allow us to position the product through the specification of its functional purpose and conditions of use.

Table 4. Matrix of the desired benefits of the product.

The next step will be the assessment of the comparative characteristics of the goods relative to the goods of competitors on a weighted 5-point rating scale, which will be presented in Table 5.

The positional analysis of competing products gave a clear idea of ​​the advantages and disadvantages of the P&G product. Based on the analysis data, one can judge the high competitiveness of the products of this organization, good knowledge of the market and the effective use of available data.

Table 5. Comparative characteristics of goods

3.4 P&G product positioning

For over 100 years, P&G has been helping people live better lives. We highly value your health and well-being of your family, as well as the preservation of the environment. From the beginning, homecare brands and products have played a prominent role in our mission.

Now, fifty years later, sustainability continues to be reflected in our products and philosophy. The branch of the company has been successfully operating on the Russian market for more than 20 years, helping people not only improve the quality of cleaning, but also improve the quality of their lives. Whether responding to changing consumer demand or implementing new scientific discoveries, P&G remains committed to cutting-edge safety ideas and a creative approach to the environment.

The cleaning products developed by us do not harm the human body and the environment. For example, the concentrated washing powder "Tide baby" was tested by pediatricians. It has been proven that it does not pose a danger to delicate baby skin. The composition of the powder consists of natural cleaning ingredients: vegetable raw materials, minerals, etc. It has a mild formula and does not harm the soft baby skin.

Cleaning agents are effective at temperatures from 30C, the concentration of the agents allows the use of a small amount of powder per wash, which ensures high product efficiency. The company's products provide you with the opportunity to make your life better with P&G products that follow the "Rule of the Three E's": Economical, Green, Efficient.

Conclusions to the design part

The positional analysis of P&G products and competing products showed that the products of this company best meet the needs of the target group, due to the optimal prices for their products compared to competitors' analogues, a high level of quality, ease of use and affordability.

The competitive advantage of this cosmetics lies in its naturalness and unique production technology that excludes the high content of surfactants, due to which the maximum effect is achieved after the use of detergents. Also, the value for money, ease of use, the possibility of individual selection of user preferences and individual advice from product distributors give this organization an enviable position in the detergent market. The buyer, for whom the indicators of profitability and efficiency are important, and are decisive, will definitely pay attention to the products of this company and, undoubtedly, will become a regular customer.

List of used literature

1. Ansoff I. Strategic management: Abbr. per. from English. / Nauch. ed. Evenenko L.I. M.: Economics, 2012. 519 p.

Dixon Peter R. Marketing Management. - M.: CJSC "Publishing house BINOM", 2011.

Kotler F. Fundamentals of marketing. - St. Petersburg: JSC "KORUNA", CJSC "LITERA PLUS", 2010.

Maslova T.D., Bozhuk S.G., Kovalik L.N. Marketing. - St. Petersburg: Piter, 2013. - 400 p.

Punin E.M. Marketing, management, pricing at the enterprise. -M.: International relations, 2010.

Romanov A.N. Marketing. - M.: Banks and stock exchanges, UNITI, 2012.

Modern Marketing / Ed. V.E. Khrutskova.- M.: Finance and statistics, 2012.

Organization theory. Latfullin G.R., Raichenko A.V. / St. Petersburg: Peter, 2010. - 395 p.

Utkin E.A. Marketing. - M.: Association of Authors and Publishers "TANDEM". EKMOS Publishing House, 2012. - 320 p.

10 Procter and Gamble News

11. Official website of Procter and Gamble

12. Encyclopedia of marketing http://marketopedia.ru/

It is clear that consumers have different needs for a variety of products. In order to meet these diverse needs, selling organizations seek to identify groups of consumers who are most likely to respond positively to the products they offer. After identifying such groups of buyers, organizations focus their marketing activities, first of all, on this group of consumers, called the target audience, almost without noticing the rest.

In order to understand why this is done, we must remember the law of V. Pareto, according to which 20% of consumers buy 80% of certain goods. He formulated the law that bears his name as follows: "Resources are optimally distributed when no one person can do better without degrading someone else's results." In an appendix to marketing, he claims that 20% of consumers provide 80% of income. This ratio is based on statistical studies. It is these 20% that represent the generalized target audience of consumers who, for certain reasons, are focused on this product. It is wise to target your products and marketing activities to that 20% rather than the entire market. Firstly, it is cheaper, and secondly, the remaining 80% of consumers purchase only 20% of this product and, in general, do not have a clear preference for it; These are more casual buyers.

Thus, we can say that it is the existence of the classical law of 20:80 that determines the very need to strictly isolate the target audience, to produce the so-called market segmentation. But the question of what are the reasons for the preference of the product by these 20% of buyers is paramount, and the marketer is obliged to find out.

To complete the coverage of this issue, we note that statistical studies have shown that the ratio of 20:80 is not valid for every product. There are many goods that do not obey the classical law.

For example, there are "narrow groups" in American sales practice. This is beer (17% of buyers ensure the sale of 88% of beer); whiskey (21 to 89); canned meat (16 out of 86), etc. The “broad groups” include, first, goods with low elasticity of demand: shampoo (41 out of 81); coca-cola (39 to 90). Note that different percentages are considered here (percentage of the number of buyers and percentages of the quantity of goods), and therefore, of course, they cannot be summed up and one should not expect their sum to be equal to 100%.

The correct definition in socio-demographic categories of these 20% of buyers that make up the target audience is the main difficulty in the segmentation procedure.

Segmentation, along with product positioning, is a key concept in marketing and consists in dividing it into relatively clear groups of consumers, which are called market segments. In each case, the division may be targeted at different products and, accordingly, require different marketing efforts. A market segment is a group of consumers characterized by the same type of reaction to the offered goods and a set of marketing incentives.

In addition to the market segment, there is also a business segment. A business segment is an area of ​​the market in which an organization has the opportunity to gain certain benefits. A frequently cited example of a business segment is the high-end racing car market, which today is independent of the conventional car market. It is understood that a business segment may contain one or more market segments. A limited business segment in which an organization has an advantage over its competitors is sometimes called a market niche.

The first step in segmentation is the selection of criteria. At the same time, there is a difference between the criteria for segmenting different markets. But this is not the rule. The same criteria can also be used, such as price or volume of consumption. The most common market segmentation uses geographic, demographic, socioeconomic, psychographic and behavioral criteria. Depending on the criteria and segmentation is geographic, demographic, psychographic and behavioral.

Geographic segmentation - dividing the market into different geographical units: countries, regions, regions, cities, districts. The use of this criterion is often, and for Russia almost always, the starting point for segmentation.

Resellers tailor marketing programs to the needs of individual geographies by localizing products, advertising, and sales activities to geographic differences in needs and desires.

Socio-economic segmentation involves the division of consumers by income level, occupation, level of education. For all its merits, socio-economic segmentation does not take into account the state of competition in the market. And this shortcoming is the Achilles' heel of the whole theory of market segmentation.

Demographic segmentation - dividing the market into groups depending on consumer characteristics such as age, gender, family size and life cycle, religion, nationality, race. Age in Russia is recommended to be segmented with a multiplicity of 7 years, as it is known that every 7 years a person moves into a new period of his life.

Demographic segments, like geographic segments, are usually easy to define and measure, since the necessary information is available.

Individual products have a pronounced focus on certain categories of people. For example, the cosmetics market is usually initially segmented into women, men and children; the cigarette market is for men and women. In the examples given, one of the frequently used segmentation technologies is indicated, namely, the initial allocation of macrosegments, within which microsegmentation is then performed.

Psychographic segmentation is the division of the market into different groups depending on the lifestyle or other individual characteristics of consumers.

Psychography is the psychological study of groups or individuals, especially in relation to characteristics, values, beliefs, preferences, and behaviors. Psychography is aimed at studying actions, interests, opinions.

When dealing with segmentation, we must remember that there is no universal approach to segmentation.

The next step after segmentation is to determine the degree of attractiveness of the selected segments, the choice of target segments and marketing strategies in relation to them.

When assessing the degree of attractiveness of segments, three factors are taken into account: the size of the segment and the rate of its change (growth, decrease); structural attractiveness of the segment; goals and resources of the organization that develops the segment.

The size of the segment must be sufficient to justify the additional cost of "tailoring" marketing strategies to its requirements.

The rate of change of a segment is understood as the annual increase in sales of a product (and maybe a fall) or an increase (decrease) in the number of consumers on it.

The structural attractiveness of a segment is determined by many factors. Including the level of competition and competitiveness of the product in question; the possibility of replacing it with a fundamentally new product, but satisfying the same needs; the strength of the position of buyers and suppliers in relation to the organization in question.

Even if a market segment is of the right size, growth rate, and structurally attractive enough, the goals and resources of the organization must be taken into account. It is possible that the goals of the long-term development of the organization do not coincide with the current goals of its activities in a particular market segment. There may not be enough resources to provide the benefits of a particular fight.

After identifying attractive segments, the organization decides which of these market segments it should still select and consider as target markets.

There are several options here:

• · Concentrate efforts aimed at the sale of one product, on one, the most attractive segment;
• Offer one product to all market segments (product specialization);
• Offer all goods produced by the organization to the market in question;
• · For some selected market segments, offer different products (selective specialization);
• · Do not take into account the results of segmentation and supply all manufactured goods to the entire market. This policy is usually followed by large firms. For example, The Coca-Cola Company supplies its drinks to all soft drink market segments. The type of marketing in which an organization, although it can segment the market, but ignores the specifics of individual segments and enters the entire market or its largest segments with one product, is called undifferentiated marketing. In this case, the organization focuses on what is common in customer requests, rather than on how they differ from each other.

The art is that you need to choose a sufficiently large and, preferably, growing segment in order to function, develop and successfully resist competitors.

The next step is to determine the position of the product in the selected market segments. Positioning, or positioning, of a product is a marketing technique that provides a product with an undeniable, clearly distinct, desirable place in the market and in the minds of target consumers. Thus, positioning is, first of all, determining the opinion of consumers of the selected segment regarding the most important properties of the product. The positioning of the product is based on the assessments of consumers, to select such parameters of the product and elements of the marketing mix, which, from the point of view of the target consumers, will provide the product with a competitive advantage.

Positions are described by parameters that are important to consumers and which they choose. For example, price is a key parameter when buying groceries

Goods (tea, sugar, coffee, flour, cereals, etc.). The interest rate, the level of services are the most important when choosing a bank; quality and reliability - when buying computers and other consumer electronic equipment.

Positioning is usually done in three steps:

• 1. A detailed market research is carried out in order to prioritize parameters for this product.
• 2. A list of competing products is compiled.
• 3. Based on the results, so-called perception maps are built, which depict the product under study in the values ​​of the most important parameters.
• 4. The ideal level of product parameter values ​​for the selected market segment is set.

A detailed market research, the right choice of positioning motives is a complex process, depending on the type of product, the type of target audience, the position of the product in a number of competing products, and much more. Every product or service has functional benefits that satisfy a need. Food gives saturation, clothes and a house give warmth, cars move in space. But each of the goods also has a psychological advantage that corresponds to the desire. Black caviar fulfills the desire to indulge in luxury, haute couture fulfills the desire to achieve individualization or prestige, and Mercedes fulfills the desire to be admired. The psychological advantage is the most important aspect of many brands, as the functional value is often just proof that the psychological advantage is credible. So, the motives for buying when positioning should be supported by the marketing characteristics of the product and its competitive advantages and features. The table (see Appendix 1), compiled by Hollingworth, shows the serial numbers of one or another motive in men and women and the impulsive strength of the motive.

According to the results of positioning, directions for product differentiation are selected. Any marketer should look for reserves to provide additional benefits and benefits from the consumption of his product by the consumer. For example, a car manufacturer may focus on safety, including environmental safety, of its vehicles, while a competitor focuses on economy. But, looking for additional benefits and benefits, we must not forget about the costs of creating these benefits. Therefore, the marketer must raise the question of what is the most effective way to create the selected benefits and benefits.

It is necessary to take into account the fact that the position of the product is influenced by the reputation and image of the organization.

Positioning can be done according to one advantage, one characteristic. This will be one-dimensional positioning. In practice, as a rule, two-dimensional (by two positions) or multidimensional positioning is performed. For example, Aquafresh toothpaste is positioned based on three benefits: caries control, fresh breath, and teeth whitening.

The results of product positioning can show that it is unprofitable for the organization to enter the selected segment. The reasons can be how many. For example, a segment has become unattractive due to the fact that all niches are occupied or those niches are free, where there is insufficient, from the point of view of the organization, profit; the quality and characteristics of the goods are not in demand, etc.

So, segmentation and positioning are two key but related analytical procedures, the purpose of which is to answer two questions: "Who are the main buyers of this product?" and “how to convince them to buy this particular product?”

Send your good work in the knowledge base is simple. Use the form below

Students, graduate students, young scientists who use the knowledge base in their studies and work will be very grateful to you.

Similar Documents

The concept and modern content of the market segmentation process. Benefits of developing a target market. Main principles, conditions, methods and main criteria of market segmentation. Positioning as the optimal placement of goods in the market space.

test, added 11/24/2010


The study of signs and methods of market segmentation. Criteria for selecting market segments to enter them with their products. Objects of market segmentation. Characteristics of consumers and product properties. Positioning a new product in the minds of buyers.

presentation, added 01/06/2016


Definition of the concepts "selection of target market segments" and "product positioning". Basic principles and types of segmentation of consumer markets and industrial goods markets. Features of positioning by the firm of a novelty product on the market.

abstract, added 01/08/2012


The concept of a market segment. Objects and purpose of segmentation. Market coverage strategies. Positioning of a new product in the market, competitive advantages. Compilation of value propositions. Ways and directions of maximizing the sale of products.

presentation, added 11/26/2016


Market segmentation and positioning of goods (services) on it, selection of the target segment. Analysis of development trends in the field of core activities on the example of OAO "Motovilikhinskiye zavody". Consumers of the product, their characteristics and positioning of the product.

abstract, added 06/25/2009


Definition, types, criteria and signs, methods of market segmentation of the goods market. Selection of target segments and product positioning, market coverage options, identifying the attractiveness of segments. Mass, product-differentiated and target marketing.

term paper, added 04/07/2010


Concept, essence, principles, criteria and methods of market segmentation. The main stages of the process of segmentation of the consumer goods market. Target segment selection and product positioning. Features of segmentation of the industrial goods market.

term paper, added 03/12/2011


Market segmentation, product life cycle and brand building. Market segmentation criteria. Stages of the product life cycle. Positioning in the market. Relationship between market segmentation and product positioning. Distribution Positioning.

It is quite obvious that different consumers want to buy different products. In order to meet these different needs, manufacturing and selling organizations seek to identify the consumer groups most likely to respond positively to the products offered and target their marketing activities primarily to these consumer groups.

Here it is appropriate to recall the well-known Pareto law (80:20 law), which in this application is based on statistical studies and according to which 20% of consumers buy 80% of goods of a certain brand, representing a generalized group of target consumers, for certain reasons (what? - you need to find out ) oriented to this product. The remaining 80% of consumers purchase 20% of the product of this brand and do not have a clear preference at the same time - they rather make random purchases. Manufacturers tend to target their products and marketing activities to the top 20% of consumers (“target shooting”) rather than the entire market as a whole (“area shooting”). This strategy of market activity is more effective.

Market segmentation consists in dividing it into relatively clear groups of consumers (market segments), which can be focused on different products and, accordingly, require different marketing efforts.

The market segment is a group of consumers characterized by the same type of reaction to the proposed products and to a set of marketing incentives.

The first step in segmentation is the selection of segmentation criteria. At the same time, a distinction should be made between the criteria for segmenting markets for consumer goods, industrial products, services, etc. Although, when segmenting markets for different goods, the same criteria can be partially used, for example, the volume of consumption.

So, when segmenting the consumer goods market, criteria such as geographical, demographic, socio-economic, psychographic (psychological), behavioral, etc. are used.

Geographic segmentation - dividing the market into different geographical units: countries, regions, regions, cities, districts, etc. The use of this criterion is often the starting point for segmentation. Geographic segments are usually easy to define and measure, and the information needed for this is often available from secondary sources. In its purest form, geographic segmentation is of limited use.

It is most useful primarily in the service sector, where territorial affiliation plays an important role.

Demographic segmentation - dividing the market into groups depending on consumer characteristics such as: age, gender, marital status, social class, family life cycle, religion, nationality, race. Demographic segments, as well as geographic segments, are usually easy to define and measure, and the necessary information is often available from secondary sources. This segmentation is usually carried out in conjunction with the application of other criteria, since the needs in one, say, age group can vary greatly for different groups of people. True, individual products have a pronounced orientation towards certain categories of people - for example, the cosmetics market is usually initially segmented into cosmetics for women, men and children.

Socio-economic segmentation involves the division of consumers by income level, occupation, level of education. It is obvious that the listed segmentation criteria directly affect the needs of the individual and the possibility of satisfying them. Sometimes these criteria are referred to as demographic criteria.

Psychographic segmentation is the division of the market into different groups depending on the lifestyle or personal characteristics of consumers.

Lifestyle characterizes what consumers spend their time on, how they relax, what houses and apartments they live in, what the interior of their homes is like, what their hobbies are, etc. For example, cigarette manufacturers segment smokers into heavy, regular, and especially caring about their health.

Personal characteristics of consumers are rather used as segmentation criteria when a given product is similar to competitors' products and individual consumer needs are not identified when applying other segmentation criteria. For example, Ford buyers were once characterized as "independent, impulsive, prone to change and self-confident." However, personal traits are difficult to accurately measure, as they are usually identified for medicinal purposes and not for market segmentation purposes.

Because psychographic criteria are more difficult to measure than other segmentation criteria, they are often used to better understand consumers segmented by other criteria.

Behavioral segmentation involves dividing the market into groups depending on such characteristics of consumers as: level of knowledge, attitudes, the nature of the use of the product or the reaction to it.

At the same time, attitude is understood as stable favorable or unfavorable assessments, feelings and propensities for action in relation to certain objects and ideas; it strongly influences the behavior of buyers.

In accordance with this, segmentation is distinguished: according to the circumstances of use, based on benefits, based on the status of the user, based on the intensity of consumption, based on the degree of loyalty, based on the stage of readiness of the buyer to make a purchase.

Segmentation by circumstances of use - dividing the market into groups in accordance with the circumstances, reasons for the idea of ​​making a purchase or using a product. For example, abroad, orange juice is usually consumed at breakfast. However, orange producers are trying to expand demand for oranges by stimulating the consumption of orange juice at other times of the day.

Segmentation based on benefits (merits) - dividing the market into groups depending on the benefits, benefits, virtues that the consumer is looking for in the product. For example, smoking for one category of consumers is the most important vital need, for others it is only an element of a certain image.

Benefit-based segmentation can be done in the course of the exercise using cluster analysis. In this case, depending on their value system, the respondents are grouped into separate segments. Within each segment, the value systems of individual consumers are similar. For example, on the basis of the “found dignity” criterion, buyers of washing powders are segmented into consumers for whom the main thing in the powder is either that it washes “whiter than white”, or that there is no smell during washing, or that the powder causes the least harm to the environment, etc. The figure shows how manufacturers tailor their products to the benefits that consumers value.

Advantages found in products and their consideration in the development of product policy

User status characterizes the degree of regularity in the use of a product by its consumers, which are divided into non-users, former users, potential users, novice users and regular users. For example, you can focus your market activity on turning novice users into regular users. Different enterprises target their activities to different user groups, and the latter require different methods of product promotion.

Consumption intensity is an indicator on the basis of which markets are segmented into groups of weak, moderate and active consumers of certain products. Obviously, it is more profitable to serve one market segment consisting of a significant number of active customers than several small segments of weak customers.

The degree of loyalty characterizes the degree of loyalty, commitment of the consumer to a particular brand of product and is usually measured by the number of repeated purchases of the product of this brand.

According to this criterion, the following six segments can be distinguished:

1) consumers who demonstrate high loyalty to a particular brand of product;
2) consumers who may switch to another brand and reduce the use of this brand;
3) random consumers, the number of which can be increased using special methods of product promotion;
4) casual consumers who can reduce the degree of consumption due to the actions of competitors;
5) non-consumers of this brand, who can buy it, subject to its modification;
6) non-consumers with a strong negative attitude towards this brand.

The buyer readiness stage is a characteristic according to which buyers are classified into unaware and knowledgeable about the product, well-informed about the properties of the product, interested in it, willing to buy it and unmeasured to buy it. The marketing plan is developed taking into account the distribution of buyers at different stages of their readiness to make purchases.

When segmenting the market for production and technical purposes, macro-segments are usually distinguished first, within which micro-segments are then searched. Macrosegments are characterized by some common properties, microsegmentation involves further detailing of macrosegments based on the consideration of specific purchasing characteristics.

When conducting macrosegmentation, the following criteria are primarily used: geographical location; type of organization purchasing the goods; the size of the organization; direction and volume of use of purchased goods.

Demand for industrial and technical products varies depending on the geographical location of the consumer organization. For example, woodworking enterprises target certain types of their products to specific geographical areas. Enterprises of certain sectors of the national economy are often located in certain regions, depending on the availability of certain resources, transport communications, etc. These enterprises are characterized by similar needs.

Different types of organizations often require products with specific features and prices, specific distribution systems, and marketing strategies. For example, a paint manufacturer may segment the market into wholesalers, retailers, construction companies, car manufacturers, etc.

The size of the organization can influence procurement procedures and volume. To master a segment of a certain size, the marketer must adapt the elements to specific conditions. For example, customers who purchase in bulk are often given trade discounts. For the sale of goods to large organizations, personal selling is more often used.

Various products, such as raw materials (steel, oil, timber, etc.), are used in a wide variety of ways. This leaves an imprint on the types and quantity of purchased products, on the use of marketing tools. For example, computer manufacturers may segment the computer market according to its use, since the hardware and software requirements of various organizations are determined by the purposes for which computers are used. Organizations that buy products in large quantities have different needs than organizations that buy products in small quantities. This applies primarily to pricing policy and supply policy. The manufacturer can set a “threshold” for the amount of purchases, above which the buyer moves to another “weight category” with a special status.

To identify microsegments, it is necessary to have a detailed understanding of the individual properties of the members of each macrosegment in terms of their management philosophy, purchasing decisions and strategies for their implementation. This segmentation is based on information from both official and unofficial sources.

In addition, the use of segmentation and other criteria is not excluded. So, in Russia segmentation of consumers depending on their ability to pay is very common.

The choice of the correct segmentation criterion has a significant impact on the final results of commercial activity. For example, when developing a market strategy and tactics for the implementation of the Mustang car model, Ford Motors (USA) chose the age of buyers as the basic segmentation criterion. The model was intended for young people who want to buy an inexpensive sports car. However, having launched the car on the market, the company's management found to their surprise that the model was in demand among buyers of all ages. The conclusion was that the base segment group should have been chosen not as young people, but as "psychologically young" people. This example indicates the need to take into account psychological factors when segmenting.

For each market segment selected using a certain criterion/criteria, it is necessary to determine the consumer reaction profile, that is, a set of characteristics (descriptors) that describe in detail the consumers of a particular market segment. Representatives of the same market segment should treat the product in the same way in terms of the advantages found in it, use it in a similar way, react similarly to marketing tools (price, advertising, etc.), demonstrate similar behavior and loyalty to the product. Only in this case, from these positions, consumer segmentation should be recognized as successful.

The identification of the consumer response profile is usually carried out through special studies. For example, coffee lovers were surveyed to rank 25 characteristics of a given product (caffeinated and decaffeinated coffee; ground and bean; regular and instant, etc.). The data obtained was subjected to factor analysis, as a result of which three distinct consumer segments were identified, conventionally named as “caffeinated coffee drinkers”, “decaffeinated coffee drinkers” and “ground coffee drinkers”. Each of these segments was characterized in terms of size, purpose and frequency of coffee use, brand and type of coffee consumed, and consumer demographics. In accordance with the results obtained, it was determined which consumer segments should be supplied with certain brands of coffee.

The segments resulting from a successful segmentation must be:

Defined, that is, have a clear set of needs and respond in a similar way to the product being offered.
- Sufficiently significant in size to justify additional "fitting" for the requirements of this segment.
- Available for effective marketing activities.
- Quantitatively measurable.
- Used for a sufficiently long period of time.

If the selected segments do not meet the requirements for the uniformity of consumer response or other requirements for market segments, then the segmentation process should be continued using other criteria. Thus, the segmentation process is iterative. It is sometimes said that segmentation is more of an art than a science.

Keep in mind that market segments change over time, creating new opportunities and eliminating existing ones. Thus, the market for personal computers during the 1980s grew by 55% annually, while cigarettes in Northern Europe decreased by 3% annually. New knowledge and technologies offer new opportunities, and therefore the search for new segments should be an important direction in the activities of marketers.

Selection of target market segments

The next step after identifying market segments is to determine the degree of their attractiveness and the choice of target markets and marketing strategies in relation to them. The attractiveness of each market segment is assessed and one or more segments are selected for development. When assessing the degree of attractiveness of various market segments that meet the requirements for their successful segmentation, the following three main factors are taken into account: the size of the segment and the rate of its change (growth, decrease); structural attractiveness of the segment; goals and resources of the organization that develops the segment. The structural attractiveness of a market segment is determined by the level of , the possibility of replacing a product with a fundamentally new one that satisfies the same needs (for example, in many cases, plastic is a substitute for metals), the strength of the position of buyers and the strength of the position of suppliers of components and resources in relation to the organization in question, the competitiveness of the products under consideration on these segments. When studying the structural attractiveness of a market segment, it is advisable to use the Porter competition model, discussed earlier in this series of articles.

Even if a market segment is of the right size and growth rate and has sufficient structural attractiveness, the goals and resources of the organization must be taken into account. It is possible that the goals of the long-term development of the organization do not coincide with the current goals of its activities in a particular market segment. There may be a lack of resources to provide competitive advantages.

Here are the following options:

Concentrate efforts aimed at the implementation of one product in one market segment.
- Offer one product to all market segments (product specialization).
- Offer all products to one market (market specialization).
- For some selected market segments, offer different products (selective specialization).

Do not take into account the results of segmentation and supply all manufactured products to the entire market. Such a strategy is used primarily if it was not possible to identify market segments with different consumer response profiles and/or the segments considered individually are small and not of interest for commercial development. Usually large firms adhere to such policy. For example, The Coca-Cola Company aims to supply its beverages to all soft drink market segments.

In selected target markets, the following approaches to their development can be used: undifferentiated marketing, differentiated marketing and concentrated marketing.

Undifferentiated marketing is a direction in the market in which the organization ignores the differences between market segments and enters the entire market with one product. The organization focuses on what is common in customer needs rather than on how they differ from each other. Are used mass systems product distribution and mass advertising campaigns. Thus, cost savings are achieved. An example is the marketing of the Coca-Cola Company at the initial stage of its development, when only one drink was offered to all consumers in a bottle of the same size.

Differentiated marketing is a direction of activity in the market, in which an organization decides to act on several segments with products specially developed for them. By offering a variety of products and marketing mix, the organization expects to achieve more sales and gain a stronger position in each market segment than competitors. For example, General Motors proclaimed: "We make cars for every wallet, every purpose and every personality." Although differentiated marketing generally generates higher sales than undifferentiated marketing, the costs of doing so are higher.

Concentrated (focused) marketing - a direction in the market in which the organization has a large market share in one or more sub-markets (market niches) as opposed to focusing on a small share of a large market. It is attractive for organizations with limited resources, for small businesses. This requires deep knowledge of narrow market segments and a high reputation for the product of the organization.

When evaluating and selecting market segments in the case when several segments are supposed to be developed in parallel, it is necessary to take into account their relationship with both production and sales and marketing activities. To do this, it is necessary to try to reduce the total costs due to the possible increase in the volume of output (economy of scale), the combination of operations for storage and transportation of products, the implementation of coordinated advertising campaigns and so on.

Choosing a position in the market

The next step in choosing the direction of the organization's market orientation is to determine the position of the product in individual market segments. The position of the product is the opinion, first of all, of a certain group of consumers, target market segments, regarding the most important properties of the product. It characterizes the place occupied by a particular product in the minds of consumers in relation to the product of competitors. The product must be perceived by a certain group of target consumers as having a clear image that distinguishes it from competitors' products.

Of course, one must also take into account the fact that the position of the product is influenced by the reputation and image of the company as a whole.

Product positioning, therefore, consists in, based on consumer assessments in the market of a particular product, to select such product parameters and elements of the marketing mix that, from the point of view of target consumers, will provide the product with competitive advantages.

Positions are described by attributes (parameters) that are important to consumers and that they choose. Price can be a key parameter for buying groceries, the level of service - when choosing a bank, quality and reliability - when buying a computer, and so on.

Positioning is usually done in three steps:

I. A detailed analysis is carried out to determine which attributes are important for a given market segment and prioritize those attributes.
II. A list of competing products with identified attributes is compiled.
III. The ideal level of attribute values ​​for a particular market segment is set. A comparative assessment of the attributes of the positioned brand of the product is carried out in comparison with the ideal level and in comparison with competitors' products.

Based on the results of positioning, market segments and product differentiation directions (see below) are finally selected. For example, a car manufacturer might focus on the durability of their vehicles, while a competitor might focus on fuel economy. In this example, positioning is carried out by one advantage. However, in practice, positioning can be carried out according to two or even three attributes. For example, Aquafresh toothpaste is promoted based on three benefits: caries control, fresh breath, and teeth whitening.

Thus, positioning involves conducting in-depth marketing research aimed at understanding how consumers perceive the product, which parameters, in their opinion, are the most important. Based on the results of such studies, perception maps are built, which depict the products under study using the most significant parameters in the eyes of consumers.

Assessing the position in the market of various products, consumers do this in terms of their benefits and benefits. Therefore, any organization must look for reserves to provide additional benefits and benefits to its consumers, whether it concerns higher quality goods and services or providing them at lower prices.

The analysis of potential sources of providing more value to consumers can be carried out using the so-called value chain.


value chain

The value chain includes all activities of the organization (chain links) aimed at creating value for the consumer. In the classic organization model, these activities include the development, production, marketing, distribution, and support of their products. These activities are grouped into five main types (input logistics - providing production operations with everything necessary, production operations - the release of finished products; output logistics - handling finished products; marketing, including sales; and services) and four supporting activities (infrastructure of the organization - good governance, finance, planning, human resources management, technological developments, procurement involving the acquisition of everything necessary for the conduct of the main activity). Supporting activities relate to the conduct of all major activities. In a more detailed model, each of the organization's nine activities can in turn be specified; for example, marketing - for its individual functions: conducting marketing research, product promotion, marketing development of a new product, etc.

The task of the organization is to examine the costs and outputs of each of the nine activities and find ways to improve them. Comparison of these data with those of competitors reveals ways to gain competitive advantage.

For each link in the chain, the question is asked: “Are we creating value for the customer in the most cost-effective way”? And so each type of activity must be analyzed from the point of view of providing benefits to the consumer and determining what costs this translates into.

Usually, the value chain analysis of a particular organization is carried out taking into account its links with the value chains of suppliers, distributors and consumers. In this way, an organization, for example, can help major suppliers find ways to reduce their costs, leading to a reduction in the price of the components they supply. In the same way, consumers can be helped to conduct their business in a more efficient or cheaper way, making consumers more loyal to the organization.

The figure shows the DuPont value chain as an example. The company's management and employees use the value chain to better focus their activities on consumer needs and find ways to reduce all types of costs so that the company remains a leader in the competition.


DuPont value chain

When determining the position of a product in the market, the method of constructing a positioning map in the form of a two-dimensional matrix is ​​often used, in which the products of competing firms are presented.

The last figure shows a map of the positioning of hypothetical competing products in a given target market along two dimensions: "price" (horizontal axis) and "quality" (vertical axis). In circles, the radii of which are proportional to the volume of sales, the letters correspond to the names of competing products. Question mark - a possible choice of market position for a new competitor based on an analysis of the position in this market of products of other firms. This choice is justified by the desire to take a place in the target market, where there is less competition (in this example, a product of relatively high quality, sold at an average price).

As parameters in the construction of positioning maps, you can choose different pairs of characteristics that describe the products under study. Often such pairs are selected based on the results of a consumer survey. For example, for washing machines: washing modes - washing temperature control, detergent requirement - load volume. Cookies can be positioned, for example, by the following pair of characteristics: level of sweetness and quality of packaging. Antidepressant drugs are often positioned according to attributes: low - high side effect (which one is indicated) and feeling of anxiety - a feeling of calm. The image of various airlines can be positioned according to attributes: conservative - entertaining and ordinary - sophisticated.

To gain a strong position in the competition, based on the results of the positioning of its products, the organization highlights the characteristics of the product and marketing activities that can advantageously distinguish its products from the products of competitors, that is, it differentiates its products. Moreover, different directions of differentiation can be chosen for different products. For example, in a grocery store, price may be a key differentiation factor; in a bank, the level of service, quality and reliability determine the choice of computer, and so on.

There are product differentiation, service differentiation, personnel differentiation and image differentiation.

Product differentiation is the offering of products with features and/or designs that are better than those of competitors. For standardized products (chicken, oil products, metal) it is practically impossible to carry out product differentiation. For highly differentiated products (cars, household appliances), following this market policy is common.

Service differentiation consists in offering services (speed and reliability of deliveries, installation, after-sales service, customer training, consulting) that are related to the product and surpass those of competitors in terms of their level.

Personnel differentiation - hiring and training personnel who perform their functions more efficiently than competitors' personnel. Well-trained personnel must meet the following requirements: competence, friendliness, trustworthiness, reliability, responsibility and communication skills.

Image differentiation consists in creating an image, an image of an organization and / or its products that distinguish them in better side from competitors and/or their products. For example, most well-known brands of cigarettes have similar taste and are marketed in the same way. However, Marlboro cigarettes, due to their unusual image, according to which only strong, “cowboy-like” men smoke them, occupy about 30% of the world cigarette market.

Depending on the characteristics of specific products and the capabilities of the organization, it can implement simultaneously from one to several areas of differentiation.

Positioning allows you to solve problems for individual elements of the marketing mix, bring them to the level of tactical details. For example, a company that has positioned its product as a high quality product, sell them at high prices, use the services of high quality dealers and advertise the product in prestigious magazines.

The results of the positioning of products or individual types of business may show that the organization has problems in its market activities. This is due to the following. Firstly, the segment that was considered as the target market has ceased to be attractive due to its small size, reduced demand, high level of competition, and low profits. Secondly, the quality and characteristics of the product were not in demand in the target segment. Thirdly, due to the excessively high price, the product turned out to be uncompetitive.

In this regard, one speaks of repositioning strategies (repositioning). Among the "material" strategies of repositioning is the release of a product of a new brand and/or change of an existing brand (price, quality, etc.). In addition, psychological repositioning strategies are distinguished. These include: a change in consumer opinion about the brand of an organization, a change in consumer opinion about competitor brands, a change in the rating of individual attributes (Volvo has increased the importance of the safety attribute of cars in their choice), the introduction of new or the elimination of pre-existing attributes (development of odorless washing powder ), finding new market segments (creating extremely expensive "super trendy" turnkey men's suits).