However, in this itself the factor of positioning is involved.
Similarly, if you have decided to target the higher income group segment, you need to have a product which appeals to the high income group, it has a premium pricing as high income groups are not interested in products which everyone can buy, it needs to have a good product placement such that it is in the reach of high income group segment, and finally the promotions needs to compliment this target marketing strategy.Target marketing, also sometimes known as niche marketing is the art of marketing only to a desired target market.Thus target marketing mainly involves two steps such as 1) Deciding your market segment as well as deciding on who your target customer is going to be.2) Designing your marketing mix with the proper product, price, promotions and place such that your target market adopts it quickly.Deciding your target segment – A major step of target marketing is to first decide who is going to be your target market.
The segmentation can be done on three basis A firm can target one type or a mix of the above segments.
Thus a segment can be both geographic as behaviorally defined.
Once you know which kind of a segment you are targeting, your marketing mix can be decided accordingly for target marketing.
Marketing mix for target marketing – Once the target segment is decided, the marketing mix strategy automatically follows.
Target Market selection – In target marketing, the target market selection is done on the basis of five factors Target marketing also involces positioning as a critical factor.
Once the target market has been defined, it is followed by the marketing mix decisions.