Summary of the course

In this course we became more familiar with the concepts of segmentation, targeting and positioning. Before diving deeper into the process of each step, we looked at the meaning of each term, and how one step is a prerequisite for the next one.

New segments are continuously emerging, while others are declining. Staying on top of such changes will help the company always choose the segment with the highest profit opportunity. We must remember that the competitors are probably doing the same and if we neglect this process, new entrants can easily threaten our existing market share and establish a foothold where once our company occupied the space.

The next stage of the process we looked at were the two steps of targeting – evaluating the market segments and deciding on the targeting strategy to deploy as a result of our analysis. Marketers can completely ignore the results of the segmentation stage and simply, choosing not to target at all, and cast a wide net to attract as many customers as possible from all walks of life. Alternatively, they can focus their efforts into attracting a segment that analysis point to be the best suited for our product and capabilities.

We finally explored the concept of positioning. Ultimately, the position of a brand lives in the minds of the consumers. The position a product or brand actually occupies may not be the one the company was aiming for. Perception is what determines these differences and that is what marketers can try to influence with the unique combinations of the marketing mix designed to appeal to each target segment.