Approaches towards Segmentation, Targeting and Positioning

Presented by

Rahim Jabbar

Jakarta, 21 May 2002

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INTRODUCTION What is Business What is in the mind of Businessman/Marketer? What is the Essence/Nature of Transaction Process? The Essence of Values that are Derived from Consumption So, What is Marketing? MARKETING AND THE S.T.P. PROCESS Basic Marketing Questions for Business General Stages of Segmentation, Targeting and Positioning
SEGMENTATION General Principles of Segmentation Types of Variables for Consumer Segmentation The Process of Segmentation SEGMENTATION : THE CONSUMERS How Do Human Beings Behave? The Adaptive Filter for Human Behavior The Forces that Shape Human Behaviors The Implementation of Human Behaviour

SEGMENTATION : AN APPROACH BASED ON PERSONALITY TYPOLOGY Psycho Social Typology of Consumers An Example : Five Types of Indonesian Urban Consumers Type-1 - Their Personality Profile Type-2 - Their Personality Profile Type-3 - Their Personality Profile Type-4 - Their Personality Profile Type-5 - Their Personality Profile Type-1 - Their Values Type-2 - Their Values Type-3 - Their Values Type-4 - Their Values Type-5 - Their Values An Example: Summary of the Five Types of the Indonesian Consumers TARGETING Criteria for Targeting A Particular Market Segment THE BRAND Components of A Brand The Brand : Product/Service as the Basis The Brand : Name as the Identifier/Relater The Brand : Packaging as the Presenter The Brand : Communication & Advertising as the Purveyor

THE POSITIONING The Understanding of the Concept Positioning, Brand Development and Target Segment The Process of Brand Development for Specific Position. Brand Communication to Nurture a Certain Position Basic Questions to Develop the Communication Strategy THE RESEARCH ASPECT : Conceptual Relationship Among Relevant Dimensions The Dimensions of Integrated Segmentation & Positioning Research An Approach Towards the Analysis of The Positioning Research Leverage Analysis for Each Brand Analysis to Understand the Components of Brand Image Analysis to Understand the Components of Loyalty to the Brand Analysis of Brand Positioning Elements

THE REFERENCES The Value Chain Model Core Business Processes The Three Kinds of Business in Commercial Organizations The Twelve Business Capabilities Psychological Archetypes

Approaches towards Segmentation, Targeting and Positioning

A definition What is Business?
The Businessmans Minds Three kinds of Business

Business Transaction, Consumption & Marketing

The nature of transaction process The Consumption Experience A definition of Marketing

Basic Marketing Questions for the Business

General Stages of Segmentation Targeting and Positioning

Segmentation

Targeting

Positioning

General Principles Types of variables The Process of segmentation Examples of Pychographic Segmentation

Criteria for targeting specific segment

The Brands The Positioning The process of positioning development Basic questions

INTRODUCTION

WHAT IS BUSINESS ?

RETURN On INVESTMENT

The Owners of Capital/ Resources

The Business Processes

INVEST

The Transaction

The Firms

INPUTS

THROUGHPUTS

OUTPUTS

TARGET MARKET

THE RETURNS

Copyright Rahim Jabbar /2002

What is the ESSENCE/NATURE of TRANSACTION PROCESS?

PRODUCT /

SERVIC E

THAT PROVIDES

VALUES

TO THE

CONSUMERS/ CUSTOMERS

SATISFACTION

TRANSACTION
THE FIRM THE

OFFER

THE

MONEY

THE EXCHANGE PROCESS

INCOME/ EARNING

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Copyright Rahim Jabbar/1999

THE ESSENCE OF VALUES THAT ARE DERIVED FROM CONSUMPTION

GOODS

VALUES : SPECIAL MEANINGS ATTACHED TO SPECIFIC CONSUMPTION OCCASIONS/ EVENTS

SERVICE S

IDEAS

THE OFFE R

EVENT S

USED
ENTITIES DISPOSED GOALS
ACHIEVED

C O N S U M E R

VALUES

WANTS

SATISFIED

VALUES

NEEDS

FULFILLED

THE ENVIRONMENT

SO, WHAT IS MARKETING THEN ? IT IS A SOCIO-CULTURAL ENGINEERING PROCESS

GOALS

WANTS

HUMAN BEINGS

Being ENGINEERED

To consume certain PRODUCT/ to choose a specific BRAND

Transformed into

CONSUMER(S)/ CUSTOMERS CLIENTS

NEEDS

INDIVIDUAL SPECIFICITY PARTICULAR SOCIO-CULTURAL MILLIEU UNIVERSAL HUMAN NATURE

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Copyright Rahim Jabbar/1999

What is in the MIND of MARKETEERS/BUSINESSMEN ?

Increase
PENETRATION

Increase
DISTRIBUTION INDUCING MORE TRANSACTION AND/OR CREATING MORE CONSUMERS/ CUSTOMERS

Increase Increase SALES VOLUME Increase Increase NET INCOME! How can the Company improve the returns on investments ? Decrease COSTS ! Increase PRICE ! Decrease VARIABL E COSTS !
CONSUMPTION SALES PER OUTLETS

Make it more attractive

Create NEW USAGE

???

Cheaper substitutes

Decrease FIXED COSTS !

Automation, Rentals, sharing,etc.

BUSINESSMEN/ MARKETEERS
Copyright Rahim Jabbar /1999

INDUCING MORE TRANSACTIONS CREATING MORE CUSTOMERS/CONSUMERS 11

MARKETING AND THE S.T.P. PROCESS

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Basic Marketing Questions for the Business

1. Where are we now?

P.E.S.T.

Company

Consumer/ Customers

Competitor s

2. Why are we where we are now? S.W.O.T

3. What do we want to be ? Where do we want to go ?

Vision Mission

4. How can we go there ? Is there any other alternatives ?How many alternatives do we have ? Development of strategic options Portfolio Strategy S.T.P. 5. Which way is the best ? Evaluation of strategic options Creation 6.How do we implement the selected strategy ? Mixing and matching the Marketing Mix Elements 7.How do we ensure our reaching the selected destination ? Control of implementation Development

Segmentation Targeting Positioning

Activation

Brand Health

Market Share

Profitability

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Copyright Rahim Jabbar/2002

General Stages of Segmentation, Targeting, Positioning

1. How is our current situation? Current Position Capabilitie s 2. What is (are) our objective(s)? Marketing Vision/Mission 3. What is the level of variability of our target markets ? Can we group them into a number of segments? High variability ->segments Low variability -> segmentation not needed Constraint s

STOP

4. How many segments are there? How is the profile of each one ?

Identify segment variables

Segment the markets 5. What specific segment(s) do we want to target? Why ?

Profile each major Segment

Potentiality

Attractiveness

Target selection

6. What positions ara available for each target segment? (Gap analysis)

Map the market & identify the positions of current offers 7.How do we fill the selected position ?

Identify alternative developable positions Clear

Create & develop alternative positioning concepts

Select the most appropriate concepts

Correc t Competitive

8.How do we make it known to the target ?

Copyright Rahim Jabbar/2002

Create & develop brand & its communication

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SEGMENTATION

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Basic Questions before Segmentation

To segment or not to segment ?

Option
Advantages

Aggregation
Economies of scale

Segmentation
Specific benefits can be fully delivered to specific target

Disadvantages

Not all needs of all consumers in all places can be fully satisfied

Splintered small groups -> quite costly to cover

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General Principles of Segmentation

Practicality/Applicability

Distinctive
Manageable Distinctive Measurable/quantifiable Ability of interrelationship/inter-linkage

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Types of Variables for Consumer Segmentation

Demographics (Socio-economic Status, Age, etc)

Psycho-graphics/Lifestyles
Behavioral dimensions Usage characteristics (Light, Medium, Heavy) Areas of Benefits Geographic (Urban, Rural, Major cities, secondary cities)

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The Process of Segmentation

START Targeting decisions

1. Are the benefits sought by the customers understood?

No

Conduct Market Research

No

6. Are the groups of appropriate size to consider?

Yes

Combine or divide groups

No No

Yes

2. Are the customers perceptions of relative importance understood?

5. Are the groups measurable?

Yes

Try different groupings

Yes

3. Are there differences among customers in importance of benefits?

Source: Copon & Hulbert, Marketing Management for the 21st Century, 2001

Yes

No

No

4. Are there significant differences among groups in segmentation attempt?

STOP

Try different groupings

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SEGMENTATION: THE CONSUMERS

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THE CONSUMERS:
How Do Human Beings Behave?
Conscious, expressive, outer world
Feelings Images Preference Purchase Consumption Beliefs Values Opinions Justification Rationalizations

Affective expressions of behavior

Explicit Behavior

Cognitive expressions of behavior

Adaptive Filter

Tension

Biological Forces (Drives, Instincts, Needs)

Social & Cultural Forces

Sub-conscious, dynamic infra-structure Human behavior: are the results of the interaction between the Biological and the Social/Cultural Forces through the intermediary of the Adaptive Filter.
Source Heylen, et.al. , 1990

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THE CONSUMERS:
How Do Human Beings Behave?

Conscious, expressive, outer world

OBJECTS/ EXPRESSION/ AMBIANCE/

Adaptive Filter

SOCIALLY ACCEPTABLE BEHAVIOURS

-> a number of potential strategies

decoded by projecting

modified into

MEANINGS
Facilitates: understanding ability to adapt

INTERNAL BIO-GENETIC FORCES

Sub-conscious, dynamic infra-structure, the inner world The Adaptive Filter functions both to modify the internal bio-genetic forces into socially & culturally acceptable behavior and to decode the external objects/expression/ambiance by projecting meanings.

Source Heylen, et.al. , 1990

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THE CONSUMERS:
How Do Human Beings Behave?

The forces that shape human behaviour

Biological drives (nature)

SPACE WITHIN WHICH POTENTIAL BEHAVIORAL STRATEGIES

TO ACCOMMODATE THE THE TWO FORCES ARE IMPLEMENTED

Social drives (nurture)

Human behavior: Human being constantly strives to satisfy both biological and social needs. Actual/expressed behavior/actions are the resulting effects of resolving the tensions between the bio-dynamic inner-world and the socio-cultural outer world.
Source Heylen, et.al. , 1990

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THE CONSUMERS:
How Do Human Beings Behave?
The forces that shape human behaviour

Individualization axis

SPACE WITHIN WHICH POTENTIAL BEHAVIORAL STRATEGIES

Social interaction axis TENSIONS OF EXISTENTIAL ANXIETY

Social drives (nurture)

TO ACCOMMODATE THE THE TWO FORCES ARE IMPLEMENTED

Human behavior: Human being constantly strives to satisfy both biological and social needs. Actual/expressed behavior/actions are the resulting effects of resolving the tensions between the bio-dynamic inner-world and the socio-cultural outer world.
Source Heylen, et.al. , 1990

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THE CONSUMERS:
How Do Human Beings Behave?

The ways that human behaviours are acted out

Biological drives can either be: released, expressed -->extroverted ways (usually when he/she can trust to the milieu) suppressed --> introverted ways (usually when he/she has doubt about the milieu)

Biological drives Released = Extroverted

Social drives:
Releasing/repressing the the energy through the active/ ego-assertive mode

SPACE WITHIN WHICH POTENTIAL BEHAVIORAL STRATEGIES

Social drives:
Releasing/repressing the the energy through the passive/ receptive, socially affiliative mode

TO ACCOMMODATE THE TWO FORCES ARE Along the social continuum, there are IMPLEMENTED TWO MODES, in which the bio-dynamic

Biological drives Suppressed = Introverted

energy be outwardly expressed or inwardly repressed: the active, ego-assertive mode the passive, receptive, socially affiliative mode, in which he/she

Source Heylen, et.al. , 1990

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THE CONSUMERS:
How Do Human Beings Differs? Can We Typify Them ?

Psycho-social typology of consumers

Expression / Extroversion

Active Lively Independent

Ego Assertiveness

Egocentric Assertive Competent Successful Confident

Conforming Caring Sharing Group Orientated

Social Affiliation

Quiet Reserved Introspective

Source Heylen, et.al. , 1990

Repression / Introversion

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SEGMENTATION:
An Approach Based on Personality Typology

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SEGMENTATION: An Approach Based on Personality Typology

Type I of the Indonesian Urban Consumers - 40%

Expression / Extroversion

Ego Assertiveness

Social Affiliation

Source: A Survey conducted in 2001/2002

Repression / Introversion

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SEGMENTATION: An Approach Based on Personality Typology Type II of the Indonesian Urban Consumers - 23%
Expression / Extroversion

Ego Assertiveness

Social Affiliation

Source: A Survey conducted in 2001/2002 Source:

Repression / Introversion

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SEGMENTATION: An Approach Based on Personality Typology

Type III of the Indonesian Urban Consumers - 19%

Expression / Extroversion

Ego Assertiveness

Social Affiliation

Source: A Survey conducted in 2001/2002 Source:

Repression / Introversion

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SEGMENTATION: An Approach Based on Personality Typology

Type IV of the Indonesian Urban Consumers - 15%

Expression / Extroversion

Ego Assertiveness

Social Affiliation

Source: A Survey conducted in 2001/2002 Source:

Repression / Introversion

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SEGMENTATION: An Approach Based on Personality Typology

Type V of the Indonesian Urban Consumers - 3%

Expression / Extroversion

Ego Assertiveness

Social Affiliation

Source: A Survey conducted in 2001/2002 Source:

Repression / Introversion

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SEGMENTATION: An Approach Based on Personality Typology

Values of Type I Consumers - 40%

Expression / Extroversion

Family Orientated/ Indoors preference Loyal Traditional Dogmatic Chauvinistic

Ego Assertiveness

Social Affiliation

Source: A Survey conducted in 2001/2002 Source:

Repression / Introversion

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Values of Type II Consumers- 23%

Expression / Extroversion
Modern/western orientated Hedonistic/ indulgent Exterior/visible

SEGMENTATION: An Approach Based on Personality Typology

Ego Assertiveness

Social Affiliation

Source: A Survey conducted in 2001/2002 Source:

Repression / Introversion

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Values of Type III Consumers - 19%

Expression / Extroversion

SEGMENTATION: An Approach Based on Personality Typology

Ego Assertiveness

Social Affiliation
Family Orientated/ Indoors preference Loyal

Source: A Survey conducted in 2001/2002 Source:

Repression / Introversion

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SEGMENTATION: An Approach Based on Personality Typology

Values of Type IV Consumers - 15%

Expression / Extroversion

Ego Assertiveness

Social Affiliation

Repression / Introversion
Source: A Survey conducted in 2001/2002

Quality of life Traditional

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SEGMENTATION: An Approach Based on Personality Typology

Values of Type V Consumers - 3%

Exterior/Outer orientated Meaningless

Expression / Extroversion

Ego Assertiveness

Social Affiliation

Source: A Survey conducted in 2001/2002 Source:

Repression / Introversion

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SEGMENTATION: An Approach Based on Personality Typology

II
Energetic/assertive/extroverted Modern/western oriented Hedonistic/indulgent Exterior oriented Popular/Light Music/arts/culture Technology inclined
Extroverted Energetic Warm Energetic Warm

III
Extroverted

Subdued/introverted/cool/affiliative Family oriented/indoor preference Loyal Technology inclined (Computer)

Assertive

Affiliative

Cool

Subdued

Affiliative/subdued Family oriented Traditional/dogmatic Male domination oriented Social/group oriented activities Traditional music/arts/culture

Assertive

Affiliative

Cool

Subdued

Introverted

I
Extroverted Energetic Warm

Introverted

Indulgent Modern (23%)

TO INDULGE AND TO SHOW

Enlightened Traditional (19%)

Affiliative

Assertive

TO BE AND TO SHARE

Cool

Subdued

V
Extroverted Energetic Warm

Introverted

IV
Extroverted Energetic Warm

Assertive/energetic Exterior oriented Meaningless/shallow Healthy foods/activities/life Alternative/different

Assertive

Affiliative

Traditional Mainstream (40%)

TO PRESERVE AND TO SHARE

Introverted/cool/subdued Family oriented/indoor preference Loyal Quality of life Meaningless/shallow

Cool

Subdued

Assertive

Affiliative

Cool Introverted

Subdued

Modern Pioneer (3%)

TO BUY, TO CONSUME AND TO SHOW

Introverted

TO HAVE AND TO DEFEND

Ersatz progressive Traditional (15%)

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SEGMENTATION: An Approach Based on Personality Typology

Size Type-1 Personality Values & (Basic Orientation) *Family oriented *Loyal *Traditional *Dogmatic *Male-domination oriented (To preserve and to share) *Modern/"western oriented" *Hedonistic/indulgent *Visible/"Exterior oriented" (To indulge) *Family oriented/indoor preference *Loyal (To be and to share) Lifestyles *Social/group-oriented activities *Traditional music/arts/culture Name Traditional Mainstream

40% *Affiliative *Subdued

Type-2

23% *Energetic *Assertive *Extroverted 19% *Subdued *Introverted *Cool *Affiliative 15% *Introverted *Cool *Subdued

*Popular/"Light" music/arts/culture *Technology inclined (hi-fi, video, etc)

Indulgent Modern

Type-3

*Technology inclined (computer, "hi-tech") "Enlightened" Traditional

Type-4

Type-5

3% *Assertive *Energetic

*Family oriented *Loyal *Quality of life *"Meaningless"/"shallow" (To have and to defend) *Visible/"Exterior oriented" *"Meaningless"/"shallow" (Tobuy and to consume)

*"High"/"Heavy" music/arts/culture *Environmental "conscience"

"Ersatz progressive" Traditional

*Healthy food/activities/life *Active life *Alternative/different

Modern Pioneer

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TARGETING

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Criteria for Targeting Market Segment

Segment Attractiveness
Segment size (Volume/Value) Growth Rate (current/likely) Barriers to entry Social factors Regulatory factors

Business Potential/Strength
Marketing skills Technological expertise Production capacity

Raw materials availability Distribution facilities Financial leverage

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THE BRAND

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THE BRANDS : COMPONENTS OF A BRAND Should be matching

THE IDENTIFIER/ RELATOR Brand Name/ Logo

THE PRESENTER The Packaging

THE BASIS The Product/ Service THE PURVEYOR The Communication/ Advert. THE PROXY OF VALUE The Price

Should be matching to each other Copyright Rahim Jabbar/1999

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THE BRANDS: PRODUCT/SERVICE AS THE BASIS

HABITS AND USAGE DATA/INFO

Uses/ Usages

USERS

Benefits

Attributes

THE PRODUCT

Choice Criteri a

Overall Performance Measure

Dimensions of Product Performance Copyright Rahim Jabbar/1999

Specific Positives/ Negatives

Physical attributes

Process attributes

Effect attributes

44 Benefit attributes

Page 7

THE BRANDS : NAME AS THE IDENTIFIER/RELATOR

The BRAND NAME

Sound/ rhyming

Associations

Meanings

Shape of Fonts

Symbols

Sociocultural context

A Impacting Affective & Cognitive aspects of human Commonality of association -> CORE C Impacting consumer perception

Copyright Rahim Jabbar/1999

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THE BRANDS : PACKAGING AS THE PRESENTER The PACKAGING

Materials

Attributes

Shape Associations Logo/ Icon

Colour

Symbols

Sociocultural context

Impacting Human Mood

Impacting consumer perceptio n

Impacting cognitive & affective aspects of human beings

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Copyright Rahim Jabbar/1999

THE BRANDS: COMMUNICATION & ADVERTISING AS THE PURVEYOR The Essence of Marketing Communication Process WHAT IN WHAT CHANNEL TO WHOM WITH WHAT EFFECTS

WHO

SAYS

PREFERENCE MARKETEERS THE OFFER ABOVE THE LINE BELOW THE LINE

THE TARGET

OTHERWISE

EXPOSES

DISPLAY ADVERTISE

PROMOTE

47 Copyright Rahim Jabbar/1999

THE BRANDS : COMMUNICATION & ADVERTISING AS THE PURVEYOR What to say and How to say it What ? (THE PROMISE) Creativity (Big Idea)

How ? (The Way)

To Whom? (THE TARGET)

Why ? (THE SUPPORTING FACT

Communication Psychology (Symbology, tone, pitch,etc)

Consumer Psychology

SELECTED POSITIONING

COPY STRATEGY

ADVERTISING AND COMMUNICATION MATERIALS (AUDIO/ VISUALS)

Should be CORRECT

Should be CLEAR

Should be COMPETITIVE

Should be CREDIBLE

For the PRODUCT

For the MARKET

Should consider LONG-TERM HEALTH OF THE BRAND

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Copyright Rahim Jabbar/1999

THE POSITIONING

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Positioning : The Concept

Positioning is what you do to the mind of the prospect. That is how you position your product/brand in the mind of the prospect. Therefore, to be effective, Positioning has to be done with the target (consumers/market) in mind The marketer should understand : What explains their behavior (what motivates them; what benefts are sought. The degree to which his/her product/brand satisfy the targets needs (Brand Health Indicator/Brand Equity Monitor) The degree to which the competitors products/brands satisfy the targets needs (Customer Satisfaction Monitor, Competitive Brand Mapping, etc.) )

Source: Adapted from Al Ries & Jack Trout, Positioning, the Battle for Your Mind (1989)

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Positioning : Factors to be Considered and Potential Sources

Positioning is to find a position of your offer ( in the mind of the prospect) that is THE BEST for it and THE MOST APPROPRIATE FOR THE TARGET MARKET Factors to be considered, therefore, should be : the product/service itself (What makes it so unique? What can make it distinctive ?). The followings can be explored : a. Technical innovation ( b. Improved Performance (Corolla Altis) c. Perceived Superiority (Intel Computer Microchip) d. New benefits (Sony Walkman, G-3 Phone in Japan) the Company that makes it (What makes the Company so special?). Examples :Baygon --> Bayer guarantees Quality) Consumer Preference : Citibank , the House of Money. The Competitive Environment. The followings can be explored : a. Market segmentation (AMEX Card) b. Re-classifying competitors (BMW vs. Mercedes) c. Price/Value (Promag vs. Mylanta)
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Source: Adapted from Al Ries & Jack Trout, Positioning, the Battle for Your Mind (1989)

Page 5 THE POSITIONING: POSITIONING, BRAND DEVELOPMENT AND TARGET SEGMENT

Direct the development of the offer

THE IDENTIFIER/ RELATOR Brand Name/ Logo

THE PRESENTER The Packaging THE BASIS The Product/ Service Selected POSITION within TARGET SEGMENT THE PROXY OF VALUE The Price

THE SELECTED POSITIONING THE PURVEYOR The Communication/ Advert.

Correct for the product

Copyright Rahim Jabbar/2002

Correct for the target segment

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THE SELECTED POSITIONING

THE PROCESS OF BRAND DEVELOPMENT FOR SPECIFIC POSITION

Symbolic Elements xx) to communicate the meanings (something exclusive, only for a few

Creative Selection & Developments (the way, the feel, the mood, the tone, the moment, the ambience, etc.)

Cultural meanings x) available in the society (Respectability is a valid goal in life)

Product/Packaging/ Campaign/Communication (colour coding, verbal/visual, etc.) at a Price

XXXX) The product becomes the locus of the selected meanings & the consumer use the product to create their notions of self and the world (My BMW is my status; it is me) X) Meanings : gender include status age life-style

Meaning transfer xxx) (with my BMW, I belong to the Yuppie club)

BMW is the status symbol of the successful Yuppies

XX) Symbolic : elements Objects Persons Contexts Motifs

XXX) Transfer of meanings from the product to the users/consumers

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BRAND COMMUNICATION
Soft-Sell vs Hard-Sell

* Hard-Sell : How does brand communication persuade people to buy ?

Messages

Transmission/ Transportation

Persuasion & play - back

Transformed Behaviour

Buying

* Soft-Sell : How does communication add values through symbols that carry specific meanings ?

Messages

Myths/ Rituals

Modified shared culture

Attitudinal change

Behavioural change

Buying

Symbols Meanings

Values

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Brand Positioning: Basic Questions to Develop the Communication Strategy

1. Brand Vision 2. Brand Mission : What is the ultimate goal you have in mind for your brand. : What role will it play in the market? (How many roles are there? What are they ?) What role will it play in the Companys portfolio?. (How many roles are there? What are they ?) 3. Basic Positioning : How you want it to be seen comparatively among the offers claiming the same/similar benefits? (targeted to the same segment) Acid tests are : * Is it clear ? (unmistakable v.s. the others?) * Is it correct ? (for the brand ? for the market? for the target group?) * Is it competitive ? (better than the others ? able to challenge market leaders/major players in the category/segment/sub-segment ?) 4. Consumer end benefits: What will it do for me ? (functionally ? Emotionally ? Socially ? Etc.) 5. Reasons why : What make/will make the consumers believe that it will give the end benefits stated ? 6. Proofs : Why should your brand delivers its promise ? 7. Support benefits : What other benefits I get? (The consumer questions)
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THE RESEARCH ASPECT

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CONCEPTUAL RELATIONSHIP AMONGST THE RELEVANT DIMENSIONS Recruitment Criteria PRODUCT BEHAVIOUR & EXPERIENCE EXPOSURE
-Advertising

awareness -Advertising recall -Message comprehension

ATTENTION ADVERTISING AWARENESS BRAND BEHAVIOUR & EXPERIENCE WITH BRAND ADVERTISING PROCESSING

-Personality
-Values -Lifestyles

THE CONSUMERS

BRAND AWARENESS

-Brand Personality
-Overall ratings (Overall a good brand) -Loyalty to CMB (Probability of staying or leaving)- degree of attachment -Ratings on product performance -Overall rating on product (perceived)

BRAND EVALUATION & ATTITUDE

BRAND ASSOCIATIONS & BELIEFS

-Brand Image (including lifestyles).

-Brand Personality
IDEAL BRAND

-Appropriate amount of money to spend on the product -Evaluation on price/ value ratio of CMB

BRAND POSITIONING PRICING

-Brand Image (including lifestyles). -Appeal/attractiveness -Believability 57 -

ELEMENTS OF BRAND POSITIONING

THE DIMENSIONS OF BRAND POSITIONING RESEARCH THE CONSUMERS *Personality - Extrovert vs. Introvert - Ego-centered vs. Socially affiliative - Warm vs. Cool -Energetic vs. Subdued *Values: -Selection from Rokeachs list *Lifestyles: -Modern -Contemporary -Ect.

THE NEW BRAND CONCEPT/POSITIONING *Verbal stimuli - A selection of the brand muscles to be evaluated in terms of - Appeal/attractiveness - Believability *Pictorial stimuli - A selection of the pictures/ events prepared by the Agency to be evaluated in terms of - Appeal/attractiveness - Believability

THE BRAND *Evaluation on the Brand - Overall ratings: -Brand for me (to evaluate degree of bonding) -Overall a good brand (total brand value) - Level of loyalty - Probability of staying with the brand/ leaving the brand - Product quality (perceived) - Ratings on product performance - Overall product acceptance -Pricing - Appropriate amount to spend on the product - Degree of good value for money *Brand Associations and Beliefs -Brand Personality -Extrovert vs. Introvert - Ego-centered vs. Socially affiliative -Warm vs. Cool -Energetic vs. Subdued -Brand Image (including lifestyles) -A selection of prepared list

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BRAND POSITIONING RESEARCH: A Basic Model

Ratings on specific product benefit attributes (perceived)

Overall Evaluation (Overall satisfaction)

Appropriate Spend on the Product

Price/Value Evaluation (good value for money)

Overall Evaluation (Overall a good brand)

Brand Image (attributes)

Image Appeal (Has an appealing image) 59

BRAND POSITIONING RESEARCH:

Leverage Analysis for each Brand Benefit 1 : weight %

Benefit Attribute 2 : weight %

Benefit Attribute n : weight %

Weight of Quality Benefit Aspect (... %)

Weight of Value for money ( ... %)

Overall Evaluation (Example : Score for brand X: .........)

Image 1 : weight % Weight of Image appeal (... %) 60

Image 2 : weight %

Image n : weight %

BRAND POSITIONING RESEARCH:

Further Leverage Analysis for Each Brand

Brand Personality 1 : weight % Degree of Bonding (Brand for me)

Brand Personality 2 : weight %

Brand Personality n : weight %

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BRAND POSITIONING RESEARCH:

Further Analysis to understand the components of image that contribute to personal suitability of the brand

Image attribute 1: weight %

Image attribute 2: weight %

Personal suitability (Brand for me)

Image attribute n: weight %

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BRAND POSITIONING RESEARCH:

Further Analysis to understand the components of brand loyalty

Personal suitability (Brand for me): : weight % Level of Loyalty (Brand for me) Overall Evaluation (Overall a good brand): weight %

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BRAND POSITIONING RESEARCH:

Analysis of each aspect of Brand Positioning Elements both for Verbal & Visual Stimuli

Positioning Element 1

Appeal

Positioning Element 2

Evaluative aspects

Attractiveness

Positioning Element n

Believability

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SUMMARY OF THE MAIN POINTS

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SUMMARY OF THE MAIN POINTS

1.

Marketing is a major element of the core business process of creating value added through inducing and stimulating transactions

2. Business transaction can only through offering product/service (=the offer) as a means of exchanging values between the consumers/customers/clients and the firms/companies. 3. Consumers/customers/clients will consider any offer (be it product or service) as bringing values to them if the offer help them achieve their goals , satisfy their wants and fulfill their needs

4. Values, therefore can be seen as special meanings attached to a particular consumption occasion or the event of receiving a particular service. (pragmatic/utilitarian use of the word value)
5. The task of marketing function is to create consumers/customers/clients by transforming individual persons or groups of people from being lay people in the streets into obtaining some added values at consuming the offers or becoming recipients of the services. After this transformation, the task is to manage the relationship (Customer/Consumer Relationship Management).

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SUMMARY OF THE MAIN POINTS

6. Managerially, the marketing process consists of creation, development and activation of the offer (product or service) destined for a specific target in mind. 7. These days rarely do we find single product for single market ( a single product-market category). The overwhelming majority of categories comprise of multi-products targeted at a variety of different groups of consumers/customers/clients. ( Each group is conveniently called a segment of the market). 8 Due to the above reasons, the development of any offer (be it product or service) should go through the process of S.T.P. (Segmentation, Targeting and Positioning) 9 Segmentation is the way you partition the market based on certain approach. Segmenting the market would facilitate in choosing the specific part of the market you want to target. 10. Targeting is the process matching your product/offer to specific part of the market.

11. Positioning is the way you differentiate your product/offer from same product category targeted to the same segment.

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