Segmentation and Target Market
Proper marketing management is one of the major determinants of business success. Amongst the methods of marketing management, segmentation, target marketing, and positioning are of utmost importance. Market segmentation deals with the identification of the market constituents into different groups or segments based on specific profiles (Kotler and Keller, 2012). Target marketing deals with the selection of segments and development of the measures to attract the selected consumer groups (Kotler and Keller, 2012). Ultimately, business positioning deals with the ways in which the business remembers and distinguishes the brand of the company with the competing products by means of unique attributes and benefits (Kotler and Keller, 2012). Although there are some associated drawbacks related to target marketing, segmentation, and positioning such as ethical issues, inhibited popularity due to cynicism to discrimination practices in these strategies, as well as waste of resources. Most firms still utilize these mechanisms due to the benefits offered such as improved operation efficiencies, better product positioning accuracy, and increased possibilities for opportunity identification (Kotler and Keller, 2012).
Procter and Gamble (P&G), which was formed on October 31, 1987, is one of the leading fast moving consumer good (FMCG) companies in the world. The portfolio of the company consists of several well-known brands such as “Pantene,” “Rejoice,” “Gillette,” “Pampers,” “Ariel,” “Ambi Pur,” and “Duracell,” among others (Procter and Gamble, 2013). The development of these brands is possible only due to sound and carefully planned marketing management strategies.
The segments of P&G may be seen from several different perspectives. First and foremost, the segmentation may be seen from the types of products. Based on their functions and usage, the segment of the market may be classified into health care, beauty, and family care segments (Procter and Gamble, 2013). For products having similar functions, P&G also segments the market further based on their demographic characteristics such as age and gender. For example, “Noxzema” is aimed to young women and young men, while “Olay” is targeted to older women. Similarly, “Head and Shoulders” is oriented mainly to adult men and women who have dandruff, while “Pantene” is oriented to adult women. Furthermore, segmentations based on the geographical features are also present. For example, there are specific innovations in the brands, such as the growth of hair treatment brands for women with curly hair in African continent, in which women having such traits are prominent. Similarly, products able to give “silky-smooth” hair are also focused in Asian countries, in which such kind hair is considered as an indicator of beauty and elegance and is therefore desired. In addition, segmentations are also made based on the psychographic characteristics of the consumers such as the value,...