122 CHAPTER 4 TARGET GROUPS
On the basis of this analysis of attractiveness, the marketer will select a number of target
groups to focus on, based on their attractiveness and for which the company has relevant
strengths. Th is is called targeting. All further communications objectives, strategies and tactics
will be aimed at these specifi c groups. Hence, the promotional mix may diff er depending
on the diff erent target markets a company is focusing on in its communications programme.
For example, IKEA, the Swedish international ‘takeaway’ furniture distributor, could target
the segment of young home users with a limited budget interested in designer furniture by
off ering a special designer furniture line. Or it could capitalise on the trend that teleworking
and self-employment are increasing and develop a home offi ce furniture line for this targeted
segment.
Finally, the company has to defi ne a unique and relevant position for its products in the
mind of the target group. Positioning can be defi ned as the way a product is perceived by the
target group on important attributes, the ‘place in the mind’ a product occupies relative to its
competitors. Positioning is a core element of marketing strategy and hence of marketing
communications. Indeed, marketing management can be defi ned as fi nding and sustaining a
unique and defendable image or position for a product. Unlike imitating successful com-
petitors, positioning attempts to claim exclusive ‘ownership’ of a benefi t in the mind of the
customer which diff erentiates it from the competition.^2 Th is position is the brand or product
personality, which should always be claimed and supported in the communications strategy.^3
Several examples of successful positioning can be given. Mercedes stands for luxury, Volvo
for safety, Miele (dishwashers, washing machines, etc.) for quality, Levi’s for the original
American jeans and Duracell batteries for power.
Market segmentation
Market segmentation is the process of dividing consumers into homogeneous groups, i.e.
groups that share needs or react in a comparable way to marketing and communications
eff orts. Diff erent variables or criteria can be used to segment a market. Table 4.2 presents a
framework and some examples of variables used to segment consumer markets.^4 Objective
segmentation variables are variables that can be measured objectively and straightforwardly.
Inferred constructs have to be defi ned before people can be classifi ed into groups. For
instance, the construct ‘lifestyle’ has to be operationalised before any one consumer can be
attributed to a lifestyle group.
General factors are segmentation variables that hold in all behavioural circumstances.
A person is always male or female, no matter what buying situation he or she is in. On the
basis of specifi c or behaviour-related variables, consumers can belong to diff erent segments
depending on the product class or buying situation concerned. For instance, a person can be
a loyal buyer or a heavy user of chocolate or a chocolate brand, but an infrequent and brand-
switching consumer of margarine.
Table 4.2 Consumer market segmentation variables
Objective Inferred (psychographic)
General Geographic Social class
Demographic (income, gender, age,
education, profession, life cycle)
Personality
Lifestyle
Specific
(behavioural)
Occasion Benefit
Loyalty status Buyer readiness
User status
Usage rate
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