MARKET SEGMENTATION, TARGETING & POSITIONING - By arihant aski goswami

Presentation on

Market Segmentation, Targeting, and Positioning 

Of Watches

-BY Arihant Aski Goswami, Sonyog Goswami

Priyanka Hazarika,Jessimuddin Ahmad,

Pradyut

What is Segmentation,Targetting and Positioning in a nut shell

Segmentation, targeting, and positioning together comprise a three stage process.

  determine which kinds of customers exist, then

select which ones we are best off trying to serve and, finally,

implement our segmentation by optimizing our products/services for that segment and communicating that we have made the choice to distinguish ourselves that way

The Three Stage Process(S-T-P)

Positioning Process

The S-T-P Process of Titan watches

Step 1 :Segmentation- the Titan PerspectiveThe levels of market segmentation are:

· Segment Marketing · Individual Marketing · Niche Marketing · Local Marketing

.

Segment Marketing

“Marketers target more than one segment when it is not economically feasible to design products

and services for individual segments.”

TITAN PERSPECTIVETitan has segmented its business into three main

categories: Mass Mid-premium luxury

Individual Marketing

“Individual Marketing is the extreme level ofsegmentation in which marketers focus on

individual customers.”

TITAN PERSPECTIVE

Titan has not applied this for its marketing !!

NICHE MARKETING

“A niche is more narrowly defined group, typically a small market whose needs are not well served. Marketers usually identify niches by dividing a segment into sub segments or defining a group seeking a distinctive mix of benefits”

TITAN PRESPECTIVEServing the youth since they form the majority of customer

base.

introducing FAST TRACK · price offering from Rs 500(affordable) · watches with style statements

LOCAL MARKETING

“Marketing programs being tailored to the needs and wants of local customer groups. The prominence of local

marketing has also become very dominant.”

TITAN PERSPECTIVE

All the products of TITAN are addressed to all the customers as a whole. Localized products are not available. But some products which are available in UK have some pictures of eminent personalities on their Dial like M.K. Gandhi, Mr. Jawaharlal Nehru,etc. so that the customers can identify the product with those dignitaries.

Criteria for segmentation(Demographic segmentation )

AGE AND LIFE CYCLE STAGE

12--2018--3030--35

GENDER GentsLadiesMarried couples

Income

Below Rs 500Between Rs (500-1500)Between Rs (1500-3000)Between Rs (3000-5000)Between Rs (5000-10000)Above Rs 10000

Social classFashion State-mentFashion State-ment but price sensi-tive

Criteria for segmentation(Psychographic Segmentation)

Lifestyle:

LuxuryMid Pre-miumMass

Personality economy category

luxury category

sports & casual category,

fashion category,

Criteria for segmentation(BEHAVIORAL SEGMENTATION)

Occasions

FormalDress wearFashion

Benefits

SERVICE CENTREhuge product rangegood life cycle

TARGETING

Four main activities in this stage

Defining the abilities of the company and resources needed to

enter a market Analyzing competitors on their resources and skills Considering the company’s abilities compared to

the competitors’ Deciding on the actual target markets.

TARGETING

SUPPLIER

Segment 1

Segment 2

Segment 3

single segment with a single product

The first is the single segment with a single product. For example, Titan’s sub brand, Raga is targeting the upwardly mobile ladies in the upperpremium segment.

TARGETING

One product for all segments

Segment 1

Segment 2

Segment 3

Supplier

Secondly, the marketer could ignore the differences in the segments, and choose to aim a single product at all segments i.e. the whole market.

SONATA FAST TRACK

TARGETING

SupplierBrand ABrand BBrand CBrand D

SEGEMENT 1SEGEMENT 2

SEGEMENT 3

Finally, there is a multi-segment approach. Here a marketer will target a variety ofdifferent segments with a series of differentiated products.

For example, Titan itself provides with the number of different brands/products which are targeting different segments in the market

POSITIONING

“Positioning is statement that shows how you are different, better or more special than your

competition.”

TITAN PERSPECTIVE

Titan initially pioneered the concept of "Gifting watches“

Titan pushed the concept of "Matching Watches to Clothes”

Earlier Fastrack was targeted at 20-25 year olds and positioned along the line "Cool watches from Titan".The company re launched the brand lowering the target segment to 18-30 year olds with the baseline “How many you have?".

GREAT TEAMS MAKE GREAT PRESENTATIONS

EXAMPLES

Criteria Segment Basis of distribution

Example

Demographic INCOME Between Rs (500-1500)

TITAN Fast Track

Between Rs (1500-3000)

TITAN REGALIA,FAST TRACK,RAGA

Between Rs (5000-10000)

TITAN EDGE

Above Rs 10000 TITAN NEBULA

EXAMPLES

Criteria Segment Basis of distribution

Example

Demographic GENDER GENTS TITAN FLIP

LADIES TITAN RAGA

MARRIED COUPLES

TITAN BANDHAN

EXAMPLES

Criteria Segment Basis of distribution

Example

Demographic Age and life cycle

12-20 TIMEX, Sonata, etc

18-30 FAST TRACK, TECHNOLOGY, SONATA,etc.

30-55 SONATA, NEBULA, RAGA, STEEL,REGALIA, BANDHAN, etc.

EXAMPLES

Criteria Segment Basis of distribution

Example

Demographic SOCIAL CLASS FASHION STATEMENT

ROYALE,AURUM, and NEBULA

FASHION STATEMENT BUT PRICE SENSITIVE

RAGA,TECHNOLOGY , FAST TRACK etc

UTILITY WATCHES

TIMEX, SONATA,KARISHMA, etc

EXAMPLES

Criteria Segment Basis of distribution

Example

Psychographic Life style LUXURY NEBULA, AURUM

Mid premium RAGA,GOLD-STEEL, TECHNOLOGY

Mass SONATA,TIMEXand KARISHMA

EXAMPLES

Criteria Segment Basis of distribution

Example

Psychographic Personality ECONOMY TITAN KARISHMA

LUXURY TITAN RAGA

SPORTS AND CASUAL

TITAN FASTRACK

FASHION STATEMENT

RAGA,NEBULA

EXAMPLES

Criteria Segment Basis of distribution

Example

BEHAVIORAL OCCASIONS FORMAL NEBULLA, STEEL, RAGA,GOLD&STEEL

DRESS WARE REGALIA, RAGA, GOLD&STEEL, ROYALE

FASHION TECHNOLOGY, STEEL, RAGA, GOLD&STEEL, FAST TRACK

EXAMPLES

Criteria Segment Basis of distribution

Example

BEHAVIORAL benefits WIDE SERVICE SERVICE CENTRE in 174 towns

HUGE RANGE FASTRACK,RAGA,NEBULA,KARISHMAETC

GOOD LIFE CYCLE

FASTRACK FOR YOUTH TO BANDHAN FOR MARRIED PEOPLE