-Behavioral segmentation is dividing a market into segments based on consumer knowledge, attitudes, and uses of a product.
-Occasion segmentation --> dividing the marketing into segments according to occasions when buyers get the idea to buy. Ex. during winter, Campbell's soup will advertise more than smoothies
- User Status --> Markets can be segmented into non users, ex users, first time users, and regular users. Ex. Williams Sonoma hold wedding registry and opens their store up after hours for newly engaged couples to get accustom to their store and hopefully stay a long term customer
- User Rate --> Markets can be segmented into light, medium and heavy product users
- Loyalty Status --> A market can be segmented by consumer loyalty. Loyal customers will continue to buy Apple products and will not try other computer or electronic products.
- Benefits Sought --> different benefits that consumers seek from the product. Ex. A winter jacket, some will seek style, some will seek warmth, and some will seek comfort
- For consumer marketing the segmentation variables are geographic, demographic, psychographic, and behavioral. Business marketers use many of the same variables to segment but businesses segment additionally by operating characteristics, purchasing approaches, situational factors, and personal characteristics.
- The segmentation must be measurable, accessible, substantial, differentiable, and actionable
- Product attributes - are the benefits a product or service will offer. These attributes include quality, features, style and design
- Product quality -->
---total quality management - all of the company's people are involved in constantly improving the quality of products, services and business processes
---Conformance quality - freedom from defects and consistency in delivering a target level of performance
- Product features - New features, what to add to its products? Company assess each features value to consumers verses its cost to the company
- Product design - Eye catching style and value adding design
- Branding - a name, term, sign, symbol, or design or combination of these that identifies the products or services of one seller or group of sellers and differentiates them from those of competitors
- Packaging - the activities of designing and producing the container or wrapper fro a product
- Labeling - the labeling identifies a product or brand, it must also describe the product, and promote the brand, support its positioning, and connect with customers.
- Product support services - make sure customers are happy.
- Conventional marketing system - a channel consisting of one or more independent producers, wholesalers, and retailers, each a separate business seeking to maximize its own profits, perhaps even at the expense of profits for the system as a whole
- Vertical marketing system - a channel structure in which producers, wholesalers, and retailers act as a unified system, one channel member owns the others, had contracts with them, or has so much power that they all cooperate
- Conventional distributers have all intermediaries as a separate chain to the process, where as vertical marketing systems clump together producers, wholesalers and retailers.
- Shopping center - group of retail businesses built on a site thats planned, developed, owned and managed as a unit
1. Regional shopping center - largest and most dramatic shopping center, has from 50-100 stores, including two or more full line department stores
2. Community shopping centers - contain 15-50 retail stores. Normally contains a branch of department store or variety store, supermarket, professional offices, or a bank
3. Neighborhood shopping center or strip malls - contain 5-15 stores. Close and convenient for customers, usually contain a supermarket, discount store and several service stores.
4. Power center - huge enclosed shopping centers consisting of a long strip of retail stores, including large freestanding anchors such as WalMart, Costco, HomeDepot
5. Lifestyle centers - smaller, open air malls with upscale stores, convenient locations and nonmetal activity such as playgrounds, skating rinks, hotels, and movie theaters.