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50<br />

Part One Introduction to Integrated Marketing Communications<br />

Belch: Advertising and<br />

Promotion, Sixth Edition<br />

Exhibit 2-10 Viagra uses<br />

different appeals for the<br />

same product in different<br />

segments<br />

I. Introduction to Integrated<br />

Marketing<br />

Communications<br />

2. The Role of IMC in the<br />

Marketing Process<br />

© The McGraw−Hill<br />

Companies, 2003<br />

can about the market: What needs are not being fulfilled? What benefits are being<br />

sought? What characteristics distinguish among the various groups seeking these<br />

products and services? A number of alternative segmentation strategies may be used.<br />

Each time a specific segment is identified, additional information is gathered to help<br />

the marketer understand this group.<br />

For example, once a specific segment is identified on the basis of benefits sought, the<br />

marketer will examine lifestyle characteristics and demographics to help characterize<br />

this group and to further its understanding of this market. Behavioristic segmentation<br />

criteria will also be examined. In the purchase of ski boots, for example, specific benefits<br />

may be sought—flexibility or stiffness—depending on the type of skiing the buyer<br />

does. All this information will be combined to provide a complete profile of the skier.<br />

A number of companies now offer research services to help marketing managers<br />

define their markets and develop strategies targeting them. The VALS and PRIZM systems<br />

discussed earlier are just a few of the services offered; others use demographic,<br />

socioeconomic, and geographic data to cluster consumer households into distinct<br />

“microgeographic” segments.<br />

Whether these microunits meet the criteria for useful segmentation is determined by<br />

the user of the system. A national company might not attempt to define such small segments,<br />

but it could be useful for companies operating within one city or geographic area.<br />

After completing the segmentation analysis, the marketer moves to the third phase<br />

shown in Figure 2-2: targeting a specific market.<br />

Selecting a Target Market<br />

The outcome of the segmentation analysis will reveal the market opportunities available.<br />

The next phase in the target marketing process involves two steps: (1) determining<br />

how many segments to enter and (2) determining which segments offer the most<br />

potential.<br />

Determining How Many Segments to Enter Three market coverage<br />

alternatives are available. Undifferentiated marketing involves ignoring segment<br />

differences and offering just one product or service to the entire market. For example,<br />

when Henry Ford brought out the first assembly-line automobile, all potential consumers<br />

were offered the same basic product: a black Ford. For many years, Coca-Cola<br />

offered only one product version. While this standardized strategy saves the company<br />

money, it does not allow the opportunity to offer different versions of the product to<br />

different markets.<br />

Differentiated marketing involves marketing in a number of segments, developing<br />

separate marketing strategies for each. The Viagra ads in Exhibit 2-10 reflect this<br />

strategy. Notice how the two ads differ given alternate target markets and media.

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