The qualitative phase focuses on matching the attractiveness of an opportunity with the potential for uncovering a market niche.
Attractiveness is dependent on competitive activity
✓ Buyer requirements
✓ Market demand and supplier sources
✓ Technological forces.
✓ Organizational capabilities.
The quantitative phase yields estimates of market sales potential and sales forcasts. It also produces budgets for financial, human, marketing, and production resources. Which are necessary to assess the profitability of a market opportunity.
✓ Benefits of Market Segmentation
1. Identifies opportunities for new product development.
2. Helps in the design of marketing programs that are most effective for reaching homogeneous groups of consumers.
3. Improves the allocation of marketing resources.
✓ Bases for Market Segmentation
✓ Requirements for Effective Market Segmentation
Each of the four major competitors attempted to stake out a unique position within the orange category. For example. While Sunkist focused on the teen lifestyle. ….. target at young adults and households without children.
Strategic position, the face of the business strategy, specifies how the business aspires to be perceived ( by customers, employees, and partners) relative to its competitors and market
Strategic initiatives and communication programs are driven by strategic position, and it is the guiding beacon for orgnizational culture and values.
For all of these reasons, it is crucial to get the strategic position right. A strategic position should be :
It should reflect a long-term effort to gain advantage in the market over competitors, and it should not be changed until the strategy itself is changed. In...