Online Self Study

Self-Study Workbook
Certificate IV in Marketing and Communication

(BSB42415)
Unit: BSBMKG401 - Profile the market
Page 1 of 11 | Self-study Workbook | BSBMKG401 Profile the market

Version 1.0: Jan 2019, Approved: Academic Manager; Next Review: Dec 2019
Macquarie Education Group Australia Pty Ltd t/a MEGA
RTO Code 91305 | CRICOS Code 02657J
BSB42415
Certificate IV in Marketing and
Communication
BSBMKG401 Profile the market
SELF-STUDY WORKBOOK
Mode | Online Delivery

Reading material for Activity 1:
Research Marketing Profile:
 Segmentation criteria
 Sources of information
 Data collection
 Data analysis
 Segment requirements
PowerPoint Learner Resource
Activity 1
 Observe and research the market around you and list the criterion for market segmentation,
valid sources of information, detail the data collection and analysis methods. Also describe the
segment requirements and how you will select the segments.
Segmentation criteria
 Demographic segmentation
divides the market into smaller categories based on demographic
factors, such as age, gender and income. Instead of reaching an entire
market, a brand uses this method to focus resources into a defined
group within that market.
 Psychographic segmentation
how marketers learn to position their products so that compatible
customers can “discover” them. It’s how brands find the right customer
match based on customer attitudes and lifestyles.
 Behavioral segmentation
divides consumers according to behavior patterns as they interact with
a company. As the name suggests, this category of segmentation
studies the behavioral traits of consumers — their knowledge of,
attitude towards, use of, likes/dislikes of, or response to a product,
service, promotion, or brand.
 Geographic segmentation
divides a target market by location so marketers can better serve
customers in a area. This type of market segmentation is based on the
geographic units themselves (countries, states, cities, etc.), but also on
various geographic factors, such as climate, cultural preferences,
populations, and more.

Information
Internal Data
Internal data consists of the information companies collect about their

customers and prospective customers, typically as part of their internal
operations. Marketing departments, for example, maintain information
about the interest and leads they generate from prospective customers
and how they are interacting with these contacts.
Competitive Intelligence
Competitive intelligence is marketing information that helps marketers

and other members of an organization better understand their
competitors and competitive market dynamics.
Marketing Research
Marketing research is a systematic process for identifying marketing

opportunities and solving marketing problems, using customer insights
derived from the collection and analysis of marketing information.
Marketing research identifies the problem to be solved or the opportunity
to be explored, as well as the information required to address research
questions.

Data
Qualitative research
Qualitative research is a type of empathic, empirical, exploratory, direct,

physical research. It helps you understand reasons, motivations, opinions,
trends that hide behind the more quantitative data of quantitative
research. The most commonly used method for RQL is the (Face to Face),
the so-called focus group where a small sample of respondents gets
interviewed for a long time, even hours, in front of a mirror, behind which
the brand and research institute observe and listen. The F2F gets video-
recorded and then transcribed as a storytelling, for images and tales.
Quantitative research
As the word itself says, quantitative research helps you quantify, use
numeric data or just data that can then be easily transformed into
statistics, and it measures behavior, opinions and attitudes of a large
sample of respondents. Let’s say that we must have interviewed at least
30 people to talk about “quantitative”, but there are usually many more
than that. Quantitative research can expand its scope if the brand is a
multinational, by implementing multi-county investigations. The more
data you obtain and the more statistics will be more accurate. Methods of
collecting quantitative data are mainly Cati (Computer Assisted Telephone
Research), so telephone interviews, and CAWI (Computer Assisted Web
Interviewing), online questionnaires, both lasting approximately 7-10
minutes. Questions often require a rating from 0 to 10. You can measure a
level of satisfaction with a product, buying frequency, brand awareness,
market segments, and so on. Data will be then transcribed into numbers,
graphs, and statistics.
Segment requirements
Measurable
The size, purchasing power, and profiles of the segments can be
measured. Certain segmentation variables are difficult to
measure. For example, there are approximately 30.5 million lefthanded
people in the United States, which is nearly the entire population of
Canada. Yet few products are targeted toward this left-handed segment.
The major problem may be that the segment is hard to identify and
measure. There are no data on the demographics of lefties, and the U.S.
Census Bureau does not keep track of left handedness in its surveys.
Private data companies keep reams of statistics on other demographic
segments but not on left-handers.
Accessible

The market segments must be effectively reached and served. Suppose a
fragrance company finds that heavy users of its brand are single men and
women who stay out late and socialize a lot. Unless this group lives or
shops at certain places and is exposed to certain media, its members will
be difficult to reach.
Sustainable
The market segments are large or profitable enough to serve. A segment
should be the largest possible homogeneous group worth pursuing with a
tailored marketing program. It would not pay, for example, for an
automobile manufacturer to develop cars especially for people whose
height is greater than seven feet.
Differentiable
The segments are conceptually distinguishable and respond differently to
different marketing mix elements and programs.
If men and women respond similarly to marketing efforts for soft drinks,
they do not constitute separate segments.
Actionable
Effective programs can be designed for attracting and serving the
segments. For example, although one small airline identified seven
market segments, its staff was too small to develop separate marketing
programs for each segment.

Target Market:
 Total market description
 Total market definition
 Segment descriptors
 Marketing options
 Targeting strategies

Activity 2
Conduct a research and define your target market. List some segment descriptors with proper
marketing options and targeting strategies.
Total market description
According to the AHAA (Association of Hispanic Advertising

Agencies), Total Market is a marketing approach used when a brand
acknowledges that its message needs to be communicated to more than
one type of audience and it proactively integrates culturally relevant
insights from diverse consumer segments from inception and throughout
the entire strategic process until we see it come to life. These efforts can
only be achieved with a cohesive collaboration of all internal and external
brand partners - General Market agencies, Hispanic Market agencies,
brand managers, marketing consultants, research firms, etc. By doing
this, the brand will certainly increase its value and market share.
Total market definition
A target market refers to a group of potential customers to whom a

company wants to sell its products and services. This group also includes
specific customers to whom a company directs its marketing efforts. A
target market is one part of the total market for a good or service.
Consumers who make up a target market share similar characteristics

including buying geography, buying power, demographics, and incomes.
Identifying the target market is an essential step for any company in the
development of a marketing plan. Not knowing who the target market is
could cost a lot of money and time for a company.
Segment descriptors
 Psychographic: Grouping by cultural clusters, social status, lifestyle

and personality type.
 Decision Makers: Grouping based on who decides to purchase your
product within the company structure.
 Behavioural: Grouping by product usage. For example; light,
medium or heavy users. This stage also factors in brand loyalty and
the type of user.
 Geographic: Grouping by a specific area, such regions of the country
or state and urban or rural.
 Distribution: Grouping based on where they go to purchase your
product, such as online, store or through a catalog.

 Demographic: Grouping customers by age, income level, gender,
family size, religion, race, nationality, language, etc.
Marketing options
strategies
creativity
media
innovative startegies
Targeting strategies
The selection of potential customers to whom a business wishes to sell

products or services. The targeting strategy involves segmenting the
market, choosing which segments of the market are appropriate, and
determining the products that will be offered in each segment. A business
offering multiple products can determine if the various segments should
receive one generic product (such as in mass marketing), or if each
segment should receive a customized product (multi-segment), based
upon the market's diversity, maturity, the level of competition and the
volume of sales expected. Also called targeting.

The Target Audience:
 Describing a market
 Consumer profile
 Align with organisational requirements.
Activity 3
Conduct a research and list some ways to describe a market properly. What variable do you
need to consider while creating a consumer profile? How would you make sure that the
consumer profile aligns with the organisational requirements?
The way to describe a market would be by

A consumer profile is based on the lifestyle and the description of the
consumer created by the segmentation target it should include some
basic demographics like age, gender, education and income level,
geographic location, occupation and marital status. You’ll also want to
consider what’s likely to motivate your buyer.
 Lifestyle.
 Age.
 Location.
 Income.
 Interests.
 Buying patterns.
 Purchasing preferences.
 Stage of life.
Even in organizations where it is desirable to become highly customer

focused, major impedients may stand in the way. For example, companies
may not have enough detailed information about their customers or
market segments; they may not want to get involved with the
complexities of transfer pricing or activity-based costing; or there may be
established legacy systems that will be difficult to change. These
countervailing pressures are a warning that although moving toward
closer alignment with customers may be directionally correct, the
appropriate structure needs to be shaped as much by the implementation
constraints as by the strategic imperative to get closer to customers.

Positioning Strategy:
 Positioning strategies
 Implementation plan
 Respond to feedback
Activity 4
What do you understand by the term product positioning? List some positioning services
and strategies that you would use in your organisation. Briefly design an implementation
plan for the strategies you have planned. How would you go about responding to the
feedback after the implementation stage?
Product positioning will be how to get to the public, to the target you have
already selected and analised by the target segmentation.
It is a strategic exercise that defines what makes your product unique and
why it is better than alternative solutions. Distilling the truth of your
product in this way informs your messaging so you can effectively explain
the value of your offering to potential customers.
Understand the customer
Your positioning should succinctly capture who your customers are
and what they need. Describe the attributes of your target
customers, including demographic, behavioral, psychographic, and
geographic details. You will also want to provide insights into the
main problems the customer is trying to solve. Use your persona
profiles to inform your positioning and help the broader team build
empathy with your customers.
Analyze the market
You need to know what alternatives customers have to your product

so you can highlight what sets your offering apart. Research your
direct and indirect competitors to understand how they serve your
customers’ needs. This will allow you to differentiate your product
from the competition and help you explain to potential customers
why your solution is the best option to solve their problems.
Assess the product
Your positioning must be built on the unique value your company

and product provides. Conducting a SWOT analysis is a useful way
to objectively analyze what your product is doing well and where it
can do better. This ensures that your marketing message aligns with
the product experience, thus helping customers make informed
decisions.


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Self-Study Workbook

Certificate IV in Marketing and Communication

Page 1 of 11 | Self-study Workbook | BSBMKG401 Profile the market

BSBMKG401 Profile the market

Page 2 of 11 | Self-study Workbook | BSBMKG401 Profile the market

Page 3 of 11 | Self-study Workbook | BSBMKG401 Profile the market

Internal data consists of the information companies collect about their

Competitive intelligence is marketing information that helps marketers

Marketing research is a systematic process for identifying marketing

Page 4 of 11 | Self-study Workbook | BSBMKG401 Profile the market

Qualitative research is a type of empathic, empirical, exploratory, direct,

Page 5 of 11 | Self-study Workbook | BSBMKG401 Profile the market

Reading material for Activity 2:

Page 6 of 11 | Self-study Workbook | BSBMKG401 Profile the market

Total market description

According to the AHAA (Association of Hispanic Advertising

Total market definition

A target market refers to a group of potential customers to whom a

Consumers who make up a target market share similar characteristics

 Psychographic: Grouping by cultural clusters, social status, lifestyle

Page 7 of 11 | Self-study Workbook | BSBMKG401 Profile the market

The selection of potential customers to whom a business wishes to sell

Page 8 of 11 | Self-study Workbook | BSBMKG401 Profile the market

The way to describe a market would be by

Even in organizations where it is desirable to become highly customer

Reading material for Activity 4:

Analyze the market

You need to know what alternatives customers have to your product

Assess the product

Your positioning must be built on the unique value your company

Page 11 of 11 | Self-study Workbook | BSBMKG401 Profile the market

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