 Well, hello everyone and welcome back. This is our unit 3 review video for marketing management If you haven't seen the other videos in this series, feel free to check them out. There should be a link to a playlist below And if you have any questions as we're going along, please leave them in the chat or leave a comment down below if you're watching later But for now, I think we'll just get started here. We have some people waiting in the chat So I'll just hand it over and I'll get out of the way Thank you, Mike. So welcome back everyone to unit 3 for the review for marketing management And today we're going to explore Excuse me segmentation targeting and positioning So let's get right to it So these are the unit 3 learning objectives. We're going to look at the different ways in which Markets are segmented We're going to look at how to identify a target market the target market of a firm's offerings We're going to explain the concept concept of product positioning and we're also going to talk about the importance of branding And as I've done with every session and I just would like to Reinforce it is why do we have learning objectives and and the reason is because each learning objective ties back directly to the course material And to the content that we explore throughout the Throughout the course The assessments are tied directly to each learning objective and of course Understanding the elements of a learning objective can help you with test preparation Now as Mike mentioned, if you have any questions feel free to put them into type them in at any given point and we will have A designated breaks throughout the court throughout the review rather for your questions So feel free to put them in at any time So to begin these are the topics that we're going to review In in unit 3 and as I mentioned earlier, we're going to talk about segmentation positioning What makes a market attractive to a particular company? We'll look at target market selection Branding as I mentioned and many of the aspects that help companies By their target markets which include demographics and psychographics We'll talk about positioning Value proposition which is so important as well as brand equity So the first learning objective is to describe the different methods of market segmentation And the topics that we will explore for this learning Learning objective include the benefits of targeting and segmenting markets The factors associated with geographic segmentation How organizations use demographic data for market segmentation How they use psychographic data to enhance the demographic segmentation And we'll talk about those elements specifically and the factors associated with behavioral segmentation So you can see that there are many different ways That markets can be segmented and we will in this unit and in this learning outcome explore those So the first thing is let's talk about targeting and segmenting markets And what this does is it enables companies to better adapt their offerings Expand their customer base and also help companies avoid direct competition with other companies Sometimes companies will use targeting and segmenting markets to remarket some of their older items Also create new offerings companies are always coming out with new products Targeting and segmenting also can help companies to determine how they're going to best spend their marketing dollars So they might reallocate them. They might add some new elements to the marketing mix And targeting and segmenting those markets will help identify those factors They can also look at ways to retain their customers and also identify early adopters And when we talk about early adopters, we're talking about the segment Of the of the marketplace of people that will be the first ones To use a particular product or service when it comes out. So these are the the benefits of targeting and segmenting markets So let's let's move on to talk to talk about geographic segmentation And what this really does is basically divide a market based on location So gathering information based on where a customer is located Then marketers companies can use a process called geocoding and identify Segments of the marketplace in a particular area. So it helps identify where customers are clustered to understand the The characteristics of people within a particular area and help to develop very specific targeted marketing activities And as we move forward with with this with this unit We'll look at how all of the different elements of segmentation work together. So if we think about And in a little in a little bit we'll look we'll look at demographics But if you look at geographic segmentation Think about the different lifestyles that people have in different parts of the country or different parts of the world Do they live in? Small villages do they live in in highly densely populated cities? What's the weather like in those particular areas? And if we think about all of those factors people that that live in varied locations We'll be making different purchase decisions. And so it's important to understand the characteristics Of geographic segmentation and how that will influence what we buy what we do where we go and how we think So if we move on to demographic segmentation, which is a very basic way Excuse me of segmenting a marketplace and and I'm sorry, my question. Oh, yeah, I just wanted to say real quick to everyone I'm I'm getting a little bit of audio trouble on youtube. So if that's happening for you We're working on it on the back end If we but it's it's it's everything says i'm streaming fine So i'm trying to figure out what's going on for everyone if there's a problem. Don't worry. This is being recorded So there will be a link below if any little just little words here and there But I think we're good enough to keep going. But if anyone's having any trouble, don't worry This is being archived in case you're having any trouble with getting to us right now Okay, so my gosh, I can continue. Yeah, we're perfectly fine to keep going. Okay, great. All right. Thanks. Uh, so Okay, demographic segmentation so demographic segmentation Uh encompasses Factors that we can measure They're very specific We can we can gather the data and we could measure so we can we can determine the ages Of people within a certain segment of the marketplace. We can determine gender and income We can measure family size education Marital status occupation religion and so on and all the factors that that if we had If when we're gathering the information we have a multiple choice question Though those can be checked off and we can calculate those those those factors But the the aspect of demographic segmentation Which makes it not stand alone is that just because people might be In the same age group or at the same income level or the same education level They still might not be making the same purchase decisions And they may not be living the same kinds of lifestyles And so this is where if we go back to the to the previous topic of geographic segmentation Right You know at this point early on we can see how Demographic factors as well as geographic factors can help Identify very specific segments of the marketplace that might have different needs or different preferences than other groups Now if we Add that to psychographic data and psychographic data Is describes a target market I'm sorry Mike. Did you hear something? Yeah, I think I think I mean we're gonna have to bring the stream down for a second I can't I can't hear it and I I'm not entirely sure why But uh everyone will be back for just a second. I'm gonna try something on the back end We're gonna pause it here. We'll be back in just a second Uh, I do not have a sorry we don't have a Good maintenance graphic Hello everyone, uh, we're back. Uh, sorry about that. Um, hopefully everything else Will be back good in the archive. If not, I'll make sure there's links in the bottom to alternate versions to make sure Everything's good. I think what we should do is just probably just restart at this slide and keep going Sure That's all right Um, Mike, I just want to say we have another little little glitch perhaps as I hear an echo when I speak Okay I'm sure I can solve that for you and just let me see if it's still there. Um, okay. I think it's corrected itself Okay, okay. All right. Sorry everyone All right, so where were we? Okay psychographic data and demographic segmentation. So the previous slide we talked about demographic data, which are Elements that we can measure and that we can specifically identify But psychographic data Describes a target market it encompasses things like lifestyles values and attitudes of consumer groups Which can't be measured in the same way that demographic data can be measured, but also is very essential for For segmentation. So for example When I spoke earlier about how you can take demographic information and geographic information And put that together to identify a segment of the population now add in the lifestyles of those people and their values and their attitudes and and the and the People that you will identify within your group will now change So It's important to to recognize that because all of these factors impact the way people will make their decisions And one of the tools that marketers use is something called valves v. A ls which stands for values attitudes and lifestyles and Marketers use this tool to identify different consumer groups And within those consumer groups, there are different There are different characteristics and different behaviors and the groups have been identified as innovators thinkers achievers experiences experiencers believers strivers makers and survivors and each of these different Groups that have been identified have specific characteristics that marketers to use when it comes time to develop to Identifying a segment of the marketplace and then from there developing marketing strategies That will be most effective at reaching those consumers now Let's talk about behavioral segmentation and what this encompasses is how we act towards a product We use products in different ways. So the first aspect could possibly be benefits Started to promote suntan lotion use at other times of the year Uh in addition to that. I'm sorry Do you mind I know this is do you want to reschedule this? Hey everyone, uh So we're gonna have to call this one right now But we are gonna put I will put a link to the full video in the comment section below this in the description I'll put it on our youtube homepage and I'll make sure that if you have a sailor academy Your email is connected to sailor academy for this course that that link is sent out to you I'm sorry. I do not know what is going on with youtube right now because of course as I'm telling you this It is going out to youtube perfectly But if you guys want to leave now, uh, that's great We're gonna finish up and I'll make sure that a good version is on youtube as soon as possible after this So I'll just I'll hand it back over. We'll restart this slide and we'll just we'll go through regardless of the technical difficulties On everyone else's end with my apologies Let's review behavioral segmentation and this really focuses on how consumers act toward a product And one of these is is benefit segmentation and this really talks about The benefits that that consumers seek when they're using a product or service Usage refers to how often a product is used And this can also help marketers identify new ways that consumers can utilize a brand and and I'd like to use the example of suntan lotion Because traditionally suntan lotion is something that we use when we go to the beach when we're at the pool Perhaps when we're out hiking And generally associated with the summertime But there have been marketing campaigns To promote suntan lotion usage at other times of the year So for example, if you're a winter sport enthusiast and you're out skiing or snowboarding the sun is out And you can get a sun a sunburn as well. So uh a way for suntan lotion companies to increase usage frequencies to promote other ways that we can use the product Additionally Uh This helps to generate brand loyalty Companies look at the different occasions that we look that we might use Different products or services. So all of these relate to the behaviors the ways in which we look at at products And when we use them and how we use them and this helps with developing marketing strategies So if you have questions, please make sure that you Send them to us and we will be sure to get back to you with the answers at a later date The next learning outcome is to identify the target markets of a firm's offerings And the things that we look at are the factors that make a target market attractive to an organization As well as how companies determine the number of targets, excuse me the number of markets They will seek to target So let's look at what makes a target market attractive So the first thing is the size of the market if if a market isn't large enough To produce Enough profit. There's really no reason to go after it So that's an important thing to look at is the overall in general size of market You also want to look at the segment growth to see whether or not there's a future In this market and whether or not future sales are possible There has to be room also in the marketplace for a new competitor So you could be going into a marketplace But if it's really saturated and there's really no room for a new competitor that might not be a place to go When there's limited competition in a product category firms can dominate a marketplace by charging higher prices Even offering perhaps inferior goods and blocking access to the market Also, there might be barriers to accessibility that could include things like geography politics technology social factors Also, let's look at costs. So for example, if you have the desire to Enter a marketplace with a new airline perhaps There's going to be a lot of barriers to entry. So there's the things to consider When moving into its accompanies needs to also have the resources to compete So let's say if you go decide that you're going into the airline industry Tremendous resources would be needed A lot of certainly technology, but also political and legal factors might be essential to achieving success So these are some of the things that that companies look at, you know, limited competition again growth Market size resources technology is their room for another player in that industry So let's look at How companies determine the number of markets to target And this we call multi-segment marketing. So not not All companies will go after one specific segment of the marketplace They might be multiple segments of the marketplace that couldn't meet the criteria And make it attractive enough for a company to to enter that segment and see profitability so, uh, let's look at, um concentrated marketing strategy where, um, there's very little competition Um, they go after a particular marketplace, but, um, really seek to dominate that marketplace. And if we look at, for example, Signet jewelers, right? They have a multi-segment marketing strategy, but it's concentrated It's all in jewelry and they have various jewelry stores that will address the needs of people at different economic levels Different income levels different needs different styles and different preferences Uh, they don't face necessarily much competition from smaller own shops, but they diversify and that makes it More appealing for them and certainly more, um, more profitable So in the concentrated marketing strategy, which is can be an element of a multi-segment marketing strategy companies will select Will choose a select group of consumers But it can be risky because if there's a decline in the need for that product Then they don't have any other other opportunities, which is why the multi-segment marketing strategy can be appealing Now if you're going after a niche marketing strategy This will focus on an even smaller segment of the marketplace where the company is looking to gain a large share of a small marketplace So we might we might look at you know high end luxury vehicles as very niche marketing Now micro targeting has really come under a lot of scrutiny for violating consumer privacy and ethics as well Since this really involves gaining very specific details that individuals consumers lifestyles habits and purchases So it's one thing to gather demographic information about a group of consumers or geographic information or psychographic information about a group of consumers But if you're gathering information about a specific consumer That's really bordering on the lines of of you know being unethical, so it's it's not really a good strategy to take Um, and it's also as a consumer You know, we're looking at this as as marketers But also as consumers to be aware of this strategy and know that it's not really a good way to go So as you process all of this information think about any questions that you might have and as we said Please make sure you you post them and we will get back to you as soon as possible with the answers So let's move on to product positioning and we'll talk about different positioning Elements the first is what is head-to-head positioning? We'll talk about the role of a unique value proposition We'll talk about why companies reposition their their brands, but also some of the risks of that repositioning So let's talk about head-to-head positioning, which is exactly what it sounds like its direct competition with another brand in the same product category And this is really when a brand will seek to to differentiate themselves from the competition And and create a way for consumers to receive their brand in a more favorable way Um This helps to again as I said how a brand is Differentiated how the consumer perceives the brand and we'll again like all of these factors lead to marketing strategies So let's talk about the value proposition value proposition It focuses on how a product or service is different from the competition and this is really where you want to Enable the customer to the consumer to answer the question for you to answer the the consumer's question So what? What's in it for me? Why is your product better than somebody else's and this is where you need to make sure you understand your consumer's Needs and what they care about You need to have a good understanding of what you do really well But it's also important to understand what your competition does really well Because the unique value proposition is where all of those elements converge and why you stand out What makes you better than somebody else and that gives the consumer a reason for buying your product or service So let's talk about repositioning repositioning is when you take your brand and you create a new image Around the brand and how your consumer and how the consumers will feel about that brand So why do we do this? This generally helps to generate new opportunities Sometimes we reposition as a response to what the competition is doing Sometimes we do this to address market changes And sometimes we do this to address internal changes. So for example A change in competition and market changes. Let's look at the The growth and popularity of electric vehicles This has been something that that really was kind of started slowly and now there's almost no Auto company that doesn't have an electric vehicle in their in their line of offerings So they're they're addressing that that was repositioned to address competition Certainly with the with with tesla and some of the other major companies Really starting to you know tesla changed the the entire world of electric vehicles But the market's changing consumers are demanding changes people consumers are looking for more sustainable options They're looking to use less fossil fuels and so on so all of these things are are kind of combined again to to To to help companies decide whether or not they should reposition a product And sometimes there are internal changes like new new technologies And new approaches that companies seek to seek to follow So let's look at some of the repositioning risks So Repositioning can bring new life to a brand but it should be based on facts It should be based on what's going on in the marketplace It should be based on what's going on with competition It shouldn't be based on emotions where people within an organization say I think I feel like we should you know We feel like we should be doing things It should be based on on solid information and if you reposition a brand in a way that isn't addressing Market needs you can lose customer confidence in your brand in your products And by doing so you can also miss out on some of the things that are important to your customers And in the marketplace You want to make sure that you don't over promise You don't want to confuse the consumer the consumer you don't want to confuse your customer about what your product stands for So when you seek to reposition it's important to make sure you're doing it for the right reasons and in the right way Again, any questions feel free to Share them on the board and we will respond to you as soon as possible For the last learning outcome for unit three we're going to describe the importance of branding We'll talk about the definition of branding how a company can achieve successful branding and the benefits of strong brands equity And we hear the term brand all the time. What does it mean to be a brand? Well a brand is anything that's associated with a particular product or service the name the term the sign the logo Anything that differentiates one offering from another and you know, if we think about and then we've talked about this before You know the Nike swoosh or the or the mcdonalds golden arches all of those things help to Create branding for that particular company The the goal of branding is to encourage consumers to identify also not just the logo or the Or the trade or the excuse me the logo or the symbol or the sign But also the different traits that are associated with a particular product And by doing so this helps consumers develop an emotional connection and relationship with that particular product So branding how is branding achieved? So branding is achieved through all of the different aspects of marketing Advertising public relations direct marketing all of the messaging all of the communication When we talk about the four piece price place promotion and product. This is the the promotion part That's how branding is achieved. We have marketing. We have advertising We connect with the with the public and we connect with consumers in a way that generates awareness And by generating awareness We lead to higher sales We build trust between The consumer and and the product and the company Also helps to simplify the marketing process If you have a brand that's that has strong brand equity and we'll talk about this in a moment Strong brand awareness your marketing activities are easier You could just put out that logo and consumers will automatically know what you're offering So it really helps to simplify the marketing process Changes the nature of the marketing messaging in a way that connects with consumers You're able to build those relationships And as such you're reaching your target markets And and I think at this point you can see how all of these factors relate back to the to the Things we talked about earlier about market segmentation And that when you are putting all of this together, you're reaching the appropriate target markets in an effective way So let's let's finish this out by talking about strong brand equity And and brand equity is is really defined by having a well-known brand name When you have strong brand equity Consumers tend to believe that your product is of high quality, which will lead to higher sales and also Psychologists have done some studies and and and recognize that consumers believe that a strong brand name Equates to product quality And companies use this information to develop pricing structures They know that they can then charge higher prices for their products with strong brand equity And it could include The evaluation of brand equity can include changes in market share It can lead to higher profit margins. It can lead to greater Logo recognition consumer perception Of that brand tends to be higher and consumers have a tendency to have greater brand knowledge So all of those factors Are associated with strong brand equity and why it's important to to do whatever is possible to generate that strong brand equity But it's also important to recognize that companies need to be able to support that with a quality product and so Strong brand equity is only as good as the product delivers if you deliver on your promises You will be sure to generate even stronger brand equity leading again to higher to higher sales and profits And that concludes unit three Again, we're happy to answer any questions that you have at any point and feel free to submit them And we'll be sure to get back to back to you with our answers. Thank you Awesome. Thank you. Um Well, thank you anyone who who joined. I don't know. Uh, sorry for all the technical difficulties. Um We haven't dropped the frame since I said, let's give up on trying so who knows of So we'll go back watch this. Uh, we'll definitely make sure to put Um, a better version that fixes any of the problems that might have been happening on the front end up there If you have any questions, leave a comment down below on this video or on that video and we'll answer any questions you've had. Um, and we uh, next week we'll have, um, another video on, uh, marketing management. So thanks everybody Bye. Bye. Thank you