MKT10008 Key Term Competitive advantage (point of differentiation) An advantage gained over competitors by offering greater customer value, either through lower prices or by providing more benefits that justify higher prices. Loyalty status A classification of consumers according to the extent to which they consistently and regularly buy a particular product or not. Market coverage Niche market A relatively small and unique target market. Position Arranging for a product to occupy a clear, distinctive and desirable place in the minds of target consumers relative to competing products. Positioning statement A statement that summarises company or brand positioning. It takes this form: To (target segment and need) our (brand) is (concept) that (point of difference). Repositioning The movement of a product from one spot on a positioning map to another spot on that map, representing a change in strategy. Segmentation Segmentation base Bases and variables for segmenting markets are geographic segmentation, demographic segmentation, psychographic segmentation and behavioural segmentation Segment heterogeneity Identifiable differences exist between segments. Segment homogeneity Similarities exist between members within each segment. Targeting Aiming one's product (or company's range of products) at a particular consumer group defined according to various characteristics. Topic 6 SWIN BUR NE SWINBURNE UNIVERSITY OF TECHNOLOGY Definition The way of defining which strategy to use in 'reaching' a target market with one's product, such as with mass marketing, a concentrated strategy, a segmentation strategy or micro- marketing. The process of dividing a market for a good or service into several smaller, internally homogeneous (or similar) groups. The essence of segmentation is that the members of a group are similar with respect to the factors that influence demand, such as age, income, lifestyle, or frequency of use of the product. CRICOS: 0011D TOID: 3059 10/10/2018> -- @Copyright: 2016 Swinburne University of Technology <UniLink & MKT Glossary Topic 6 > Version <1 > Page 1 of 2
MKT10008 Topic 6 SWIN BUR NE SWINBURNE UNIVERSITY OF TECHNOLOGY Undifferentiated (mass) marketing A market-coverage strategy in which a firm decides to ignore market segment differences and go after the whole market with one offer. Unique selling proposition / point (USP) Choosing one particular appeal or 'selling point' (only) that is believed to be the most powerful appeal, to the target consumer. @Copyright: 2016 Swinburne University of Technology <UniLink & MKT Glossary Topic 6 > Version <1 > CRICOS: 0011D TOID: 3059 10/10/2018> Page 2 of 2 ----