Focusing Marketing Strategy with Segmentation

A manager who develops an understanding of the needs and characteristics of specific groups of target customers within the broader market may see new, breakthrough opportunities. But it s not always obvious how to identify the real needs of a target market or the marketing mix that those customers will see as different from, and better than, what is available from a competitor. Identifying a company s market is an important but sticky issue. In general, a market is a group of potential customers with similar needs who are willing to exchange something of value with sellers offering various goods or services that is, ways of satisfying those needs. However, within a general market, marketing-oriented managers develop marketing mixes for specific target markets. Getting the firm to focus on specific target markets is vital.