Positioning is a fundamental element of the marketign planning process, since any decision on positioning has direct and immediate implication for the whole of the marketing mix. The marketign mix can be seen as the tactival details of the organisation s positioning strategy. For example, if the organisation is pursuing a high-quality position, this needs to be reflected not just in the quality of the product or service, but also in every element of the mix including price, the pattern of distribution, the style of advertisign and the after-sales service. Without this consistency, the positioning strategy can not be successful.
Why Using Target Marketing (STP Marketing)
Why today s companies are moving away for mass marketing and toward target marketing? The answer are base on the three major benefits by using target maketing.
Consumer Bebefits
Using mass marketing, the company offer only one markeitng mix to a total market of consumers with various needs and asks that consumers adjust their needs to the availavle product. The result is that not all consumers are totally satisfied. For example, before Coca- Cola produced only one drink for the whole market, obverisously, it does not satisfy the people who whold like drik Cock-Cola but also do not want also have too much suger. Target marketing selects a smaller groups of consumers with similar needs and tailor the marketing mix to meet those needs. Thus, target marketing can bring greater satisfication to consumer.
Market Benefits
The target marketer s product more closely meets the needs of the target consumers and thus, often, a higher proportion will purchase and repurchse. If the consumers can have more satisfaction in the target marketer s product than the mass marketer s product, then it should result in a more inelastic demand curve for the product. It means that proces can be set higher. Thus, target marketing shifts competition away form price and toward product desing and imnprovement.
Competitive Benefits
Since the target market strategy ressults in greater satisfied and hence more loyal customers, competitors would have more difficulty in trying take these customers away. In addition, the smaller target market may make it appear to be a less attractive target than the entire market.
Generally speaking, the target marketing is an important idea. However, in my opinion, it is not always can be applied in entire marketplace.