-: Hello and welcome to the video lecture
on segmenting, targeting, and positioning, Part 1.
So in these two parts, we're gonna talk
about those things, how to segment,
how to pick a target market, the idea of positioning,
and the tool of perceptual mapping
which can help you with your positioning.
So why segment?
Why should we break customers
into groups?
So segmentation, again, is breaking
sort of everyone out there into groups
which share like attributes
in certain ways.
Why do we do it?
Because we don't live in a one-size-fits-all world.
Not everyone likes the same kinds of food, the same kind
of film, the same kind of art, the same kind of clothes,
the same kind of cars, the same kinds of electronics.
We humans are very heterogeneous
in what we like, what we want, what we need.
And again, different consumers
have different tastes, needs, desires, behaviors,
how we buy, where we buy, when we buy.
There's a lot of variety there.
And by segmenting we can think about
who is most likely to buy our thing, to buy our product,
to buy our service, to support our organization.
And we're gonna think about how do we find them
and get our message and get into their brand awareness set
so that they will support us.
Remember way back a few videos ago
that I talked about,
if you ask somebody, "Who will buy your product,"
and they say, "Everyone,"
that's not actually a good thing.
That's a danger sign that they haven't done this exercise.
And important to create segments of folks
that are likely to buy or not likely to buy,
and then target those who are likely.
So there's four main types that we're gonna talk about:
demographic, psychographic, behavioral, and geographic.
And we're basically going to aggregate folks
by common needs, common behaviors,
common attributes, and sort of focus in then
on those that would be good likely targets
for what we have.
The idea being that we wanna create a link
from the need to the marketing action,
and by having clearly defined segments,
it makes our marketing efforts
much more efficient and effective.
The idea being that they should have similar needs,
that they should sort of resemble each other
in certain ways related to the need
or want for your product or service,
and they must be big enough to be worthwhile.
So if you have a segment of one, that might be great,
but that's only one individual,
and to spend a whole lot of money and time and effort
to just reach one is, again, probably not efficient.
And there must be a way to reach them.
So here are four ways that we can think about segmentation:
geographic, demographic, psychographic, and behavioral.
And I'll go through each one.
So geographic, where geo
means the Earth, and graphic is (indistinct),
so measuring their location.
Where do they live?
Where do they work? Where do they recreate?
Where do they shop? Where in space are there?
And how big of a geographic reach do you want?
Do you wanna sell locally? Do you wanna sell globally?
Or sort of how large or small of a geographic reach
do you have?
How likely is it that folks far away, say,
are gonna want what you have?
Demographic is measuring
human attributes.
So when we think about consumers, again,
things like age, race, religion, ethnicity,
things like that, you can have one or more of them,
like those of a certain gender and race,
or those of a certain age and income,
or any combination.
And when we think about firmographics,
for those of you in B2B space, that would be
the attributes of a firm, like its size, its revenue,
how long it's been in business, and things like that.
Psychographic is how they think, what they like,
their activities, their opinions,
their interests, their values.
We can think about what are some common psychographics
of UVM's students?
What are some things that a lot of students like to do?
What are some of the activities?
When are the interests or some of the habits?
What are the hobbies? What values do these folks hold?
And to what extent and how is that a match
for what you will wanna sell?
Or who out there has the activities, the opinions,
the habits, the values that match what you have?
I just thought that this is funny.
This is Burlington Bingo, and I think it has a lot to do.
It says a lot about the psychographics
of our fair city, Burlington.
Behavioral is specifically
regarding the way that they buy,
their purchase behaviors.
Where do they buy, how often, how much, and when?
Do they buy large amounts just infrequently?
Do they buy small amounts daily?
Are they loyal?
Do they use it a lot, or do they just use it
a little bit?
How do they purchase, and how do they use the product?
These are an interesting set of segments.
This is a bit old, but I think it's still, it's a lot,
that there was a report that came out of who buys organic,
and it broke it up into these six segments
with these top four being ones that will probably buy,
and the bottom two, the overwhelmed and the unconcerned,
being ones that probably just, at least at this time,
weren't worth the effort to try to reach
because they just lack the demographic
and psychographics to want to buy organic food.
The affluent folks, so those that are really interested
in the nutrition and health.
And then the young recyclers that wanna do the right thing
but, again, sort of face the barriers.
And that is the end of Part 1. Thank you.