Target Market Selection

Message Strategy

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 7-Step Decision Making Process

• Target Market Selection

• Message Strategy
• Communication Objectives
• Creative Strategy
• Media Strategy
• Budgeting
• Research Strategy

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The Target Marketing Process

Identify markets with unfulfilled needs

Determine market segmentation

Select market to target

Review and refine the market

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 Step 1: Identify Unfulfilled Needs
• When we buy a product, we usually do not
need the product per se. Instead, we seek to
satisfy certain need via the product.

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 Maslow’s Hierarchy of Needs

Self-actualization

Esteem

Social

Safety

Physical Needs

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 Maslow’s Hierarchy of Needs

• When promoting a product, can we potentially tap

onto different types of needs?

Hyundai “First Date”: https://www.youtube.com/watch?v=wapLaF5jmrU

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 Step 1: Identify Unfulfilled Needs
• With the mass abundance of commodity, it is
becoming increasingly hard for a brand to compete
on the fundamental need levels.
• Tapping onto higher level needs can be efficient ways
to create meaningful differentiations among brands.
• Always be ready to further elaborate people’s
psychological needs in marketing communications.

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 Consumption, Signaling and Identity
• Self-Expression: Consumption as a means to signal identities
to the self and others.
• Compensatory consumption: Consumption is undertaken to
offset a threat to one’s identity.
• Consumption as copying method of modern consumers’
anxiety and unsatisfied needs.

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 Step 1: Identify Unfulfilled Needs
• Unfulfilled needs are path to competitive
dominance.
– If you can uncover and meet needs the
competition is not meeting, that gives you a
distinct advantage.
– At the same time, if you are not meeting
unfulfilled needs, and the competition is, these
become at-risk needs and can cause customer
defections.

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DO YOU KNOW WHO YOU ARE
SUPPOSED TO REACH OUT?

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 Step 2: Market Segmentation
Psychographic Demographic

Customer
Characteristics

Socioeconomic Geographic

Behavior Outlet Type

Buying
Usage Situation

Awareness Benefits
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Consumers with a wide spectrum of backgrounds—crossing the boundaries
of age, gender and income. New Beetle targets individuals that are
confident, individualistic, and desiring to be the center of attention. They
love to drive and appreciate a spirited design and German engineering.
 Step 2: Market Segmentation
• Marketers usually combine different segmentation
bases to give the target audience a clearer profile.
• For online advertising, behavioral targeting is on the
rise. https://www.youtube.com/watch?v=Y9Y4Efyxmk4

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Step 3: Select Market to Target

Determine how many

segments to enter

Determine which segments

have the greatest potential

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 Market Coverage Strategies

Undifferentiated Marketing Company Entire Market

Segment 1

Differentiated Marketing Company Segment 2

Segment 3

Segment 1

Concentrated Marketing Company Segment 2

Segment 3
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 Step 4: Target Market Refinement
• A 3-circle framework for target market
refinement

Non- Other-
Users Loyals
Switchers

Own-
Loyals
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The Target Marketing Process

Identify markets with unfulfilled needs

Determine market segmentation

Select market to target

Review and refine the market

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 Target audience complexity

• Ask who not? Why not?

• Determine how your target audience makes
product and brand decisions.

Apple watch
accessibility:
https://www.youtube
.com/watch?v=XB4cj
bYywqg

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