Download Targeting a Market Student Worksheet

Introduction to Marketing Course Part 2
Reaching Your Market
Chapter 5: Targeting a Market
Complete the following handout package using today’s PowerPoint Presentation and
class discussion.
By the end of this chapter you should be able to:
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define business opportunity
explain the components of a marketing strategy
describe the four qualities of a target market
identify the four strategies in the marketing mix
define mass marketing and target marketing and state the advantages and disadvantages
of each
explain how segmentation helps to determine which market to target
explain each of the four segmentation categories and list the variables for each
describe how marketers create and use a market segment profile
You are responsible for the following Marketing Terms:
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business opportunity
mass marketing
target marketing
market segmentation
segmentation variable
disposable income
discretionary income
psychographic segmentation
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geographic segmentation
census
demographic information
demographic segmentation
generation
behavioural segmentation
80/20 rule
market segment or consumer profile
Business Opportunity
A business opportunity is a _______ for _________ based on a product idea and a
__________ that will buy it.
In order to turn a business opportunity into a successful business, develop a business
plan and a ___________ plan.
The marketing plan includes the __________ _________.
Target Market
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________ of a larger market whose _______ and _______
you will try to meet with a specific marketing mix.
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Marketers focus on the _______ _______ while making __________ _____
decisions.
Qualities of a Good Target Market
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clearly defined needs and wants that your _________ _____ ______
_______ __ _____ your product
___________ and __________ to ______ your product
__________ customers in the market to be _________
Marketing Mix
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Marketing mix decisions are marketing mix _________.
Both are made with the ________ _______ in mind.
Mass Marketing
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only _______ marketing mix
assumes that everyone’s _______ and _____ for a product are exactly the same
Two Problems with Mass Marketing
1. _______________________________
 contain many subgroups with very different needs and wants
example: one type of shoe will not meet the needs of everyone who
wears shoes
2. _________________________
The Answer to problems with Mass Marketing is:
Choosing Your Target Market
 __________________________
 __________________________
 __________________________
 __________________________
1. Target Market First
 choose a target market
 create a __________ that this market _______ ___ _______.
Approach works well when there is a ________ and distinct target market that
has _______ to spend.
 ________ are a popular target market.
2. Product Idea First
 develop a product idea
 find a target market that _________________________.
Potential problem
Potential benefit
3. Product and Target Market Together
 usually occurs when you observe a need in a particular group
Example
 MAC cosmetics line developed specifically for ____________
4. Old Product, New Target Market
 usually occurs when a ____________________ is losing sales
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company promotes the old product to a __________ or for a _________.
Example: baking soda
was promoted as a ______________
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now promoted as a ______________
Market segmentation
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process of _________________into _________ parts
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each of these smaller parts is called a ___________
WHY?
The purpose of market segmentation is to _____________________ with
 _____________________________
 _____________________________
 _____________________________
 _____________________________
Segmentation variables are organized into four
categories.
 ______________
 ______________
 ______________
 ______________
Geographic Segmentation
 dividing a market based on where customers live
Geographic variables include
_______________
____________
________________
Demographic Information
 statistics (numbers) that describe the characteristics of a population
 collected in a census
Census
 __________________________ made by the government on a regular basis
 _______________________: conducts census every 5 years
Demographic Variables
___________
_________ _________ ________
_____________________________
Psychographic Segmentation
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based on psychological characteristics of customers
Psychographic variables include
 _____________
 social activities
 _____________
 interests
 _____________
To discover lifestyle and values, marketers may use the VALS™ Survey.
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eight VALS™ segments
Identify the 8 VALS Segments
Behavioural Segmentation
 dividing a market based on the way customers _______ a product
Behavioural variables include
 __________
 __________
 __________
__________________
 most of the profits (___%) come from a few customers (____%) who show the
__________ brand loyalty
Marketers often segment the market based on customer _________________.
 ________, _________, __________, ___________
Examples:
Market Segment Profile
1. a detailed description of the typical customer in a market segment
2. includes information on
 geographic variables
 demographics
 psychographics
 behaviour relevant to the product