Reference no: EM13847126 , Length:
You should introduce the concepts of the STP process and the marketing mix. For Marketers today it is important that they define the role of the customer. Segmentation analysis is the etc. Describe the role of STP within an organisation and how this process relates to the marketing mix etc - around 2 paragraphs.
Remember to use in-text referencing throughout the paragraph. This introduction should be an overview of the core concepts.
Second part of the introduction should be to outline the organisation and the product/service. For example this report will discuss Nike and a particular product line - Nike Air. Nike is as global sports apparel organisation with market capital of $ (Nike, Annual Report 2014). Again remember when are stating $, % dates or using any information based on the company you must reference your sources and again use in - text referencing.
1. STP Process
Here you again support the concept of the STP process. For example you can break up your analysis up and write to each part of the process. Remember to introduce the overall concept.
This area focuses on understanding why people will purchase a certain product or service. How can an organization make their product irresistible to their customer? In order to be able to identify the appropriate target market, the market can be divided into more specific groups. These groups will consist of similarities such as comparable product needs or identifiable characteristics.
This section relates to the way an organization actively selects a suitable market segment (or segments), ensuring that their marketing offers and activities are directed specifically towards this particular group of related customers.
Sometimes known as product positioning, this area reflects the way the target market perceives the key benefits and features of a particular product. This relates to the offerings of competitive products, which effectively creates a position for a product in its market segment.
2. Segmentation Variables
Then you should write to the importance of how to segment based on the following variables. You should discuss how organisations use these variables to segment their market. Market segments are formed on the basis of differentials in consumer wants and desires; that is, segments derive from consumer satisfaction (Mullin , Hardy , & Sutton , 2007).
The variables for segmenting consumer markets are divided by 4 broad categories:
4. Behavioural variables.
Introduce what each variable and again use referenced information and sources. Eg Demographic segmentation divides the market into groups based on variables such as age, gender, income (Elliot, 2014). Keep building on these concepts for each variable. Discuss why it is important for your organisation to use these approaches. You need to write just a line or two on each of these variables above. Ensure that you reference using in - text sources. So start every paragraph off with theory.
After completing the segmentation process, targeting becomes the next step. There are three types of target market selection processes and these include undifferentiated target strategy, concentrated target strategy and differentiated strategy. You need to identify which approach your organisation uses based on your customer profiling and give an explanation as to why.
Positioning is how the product/service is perceived by the target market. This step involves the appropriate positioning of a brand in the chosen target market, taking into consideration how the brand will compete at its best possible potential (Kotler, 2012). Again you need to discuss the general theory of positioning and then apply this to your organisation and how they position their product/service. Again use referenced sources to support your work.
5. STP Process & Impact on Marketing Mix
In this section you do not need to write up a marketing mix strategy but discuss the implications, the impact and the importance of the STP process on the marketing mix. Therefore think about the customer - so from understanding the customer and how to profile them will ultimately influence how a product is produced, priced, distributed and communicated. Again use referenced sources.