Advertising and Integrated Brand Promotion 7th Edition OGuinn Solutions Manual 1

Chapter 6: Market Segmentation, Positioning, and the Value Proposition
Advertising and Integrated Brand Promotion 7th Edition

OGuinn Allen Semenik Close 1285187814 9781285187815
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CHAPTER 6
Market Segmentation, Positioning, and the Value
Proposition
Key Terms
segment switchers, or variety seekers consumer markets
target emergent consumers business markets
position point-of-entry marketing competitive field
positioning demographic segmentation niche marketing
STP marketing geodemographic segmentation positioning strategy
heavy users, committed users, lead psychographics value proposition
users lifestyle segmentation brand promise
brand freaks benefit segmentation brand platform
Summary
PPT 6-2 here
Explain the process known as STP marketing.
The term STP marketing refers to the process of segmenting, targeting, and positioning.
Marketers pursue this set of activities in formulating marketing strategies for their brands.
STP marketing also provides a strong foundation for the development of advertising
campaigns. While no single approach can guarantee success in marketing and advertising,
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Chapter 6/Market Segmentation, Positioning, and the Value Proposition
STP marketing should always be considered when consumers in a category have

heterogeneous wants and needs.
Describe different bases that marketers use to identify segments.
In market segmentation, the goal is to break down a heterogeneous market into more
manageable subgroups or segments. Many different bases can be used for this purpose.
Markets can be segmented on the basis of usage patterns and commitment levels,
demographics, geography, psychographics, lifestyles, benefits sought, SIC codes, or stages in
the purchase process. Different bases are typically applied for segmenting consumer versus
business-to-business markets.
Discuss the criteria to target a segment.
In pursuing STP marketing, an organization must get beyond the stage of segment
identification and settle on one or more segments as a target for its marketing and advertising
efforts. Several criteria are useful in establishing the organization’s target segment. First, the
organization must decide whether it has the proper skills to serve the segment in question. The
size of the segment and its growth potential must also be taken into consideration. Another
key criterion involves the intensity of the competition the firm is likely to face in the segment.
Often, small segments known as market niches can be quite attractive because they will not be
hotly contested by numerous competitors.
Identify the essential elements of an effective positioning strategy.
The P in STP marketing refers to the positioning strategy that must be developed as a guide
for all marketing and advertising activities that will be undertaken in pursuit of the target
segment. Effective positioning strategies should be linked to the substantive benefits offered
by the brand. They are also consistent internally and over time, and they feature simple and
distinctive themes. Benefit positioning, user positioning, and competitive positioning are
options that should be considered when formulating a positioning strategy.
Review the necessary ingredients for creating a brand’s value proposition.
Many complex considerations underlie marketing and advertising strategies, so some device is
called for to summarize the essence of one’s strategy. We advance the idea of the value
proposition as a useful device for this purpose. A value proposition is a statement of the
various benefits (functional, emotional, and self-expressive) offered by a brand which create
value for the customer. These benefits as a set justify the price of the product or service.
Clarity in expression of the value proposition is critical for development of advertising that
sells.
Chapter Outline
I. STP Marketing and Advertising

PPT 6-3 here
Very few marketers advertise to everyone. It is way too expensive and wasteful. So, advertisers
usually have to segment their market—that is, cut it into pieces and focus on the piece or pieces
(segments) that make the most sense. They then have to target (focus advertising and IBC for
delivery upon) that segment or segments with advertising and integrated brand promotion. Then
they have to position their brand for that segment(s). Positioning means to attempt to give a
brand a certain meaning relative to its competitors. Doing the three together is called the STP
marketing approach. Markets are segmented; segments of markets (groups of potential
customers) are targeted, and brands are positioned.
II. Segmenting Markets

PPT 6-4 here
The first step in STP marketing involves market segmentation—breaking down large, broader
markets into more manageable submarkets or customer segments. Advertisers need to identify a
segment with common characteristics that will lead the members of that segment to respond
distinctively to a marketing program. This section reviews several ways that consumer markets
are commonly segmented.
A. Usage and Commitment Level

PPT 6-5 and PPT 6-6 here
It is important to recognize that for most products and services, some users will purchase
much more, and more frequently, than others. These consumers are called heavy users,
committed users, or lead users. It is common to find that heavy users in a category account
for the majority of a product’s sales and become the preferred or primary target segment. A
heavy-user focus, however, takes attention and resources away from those who need
encouragement to purchase the market’s brand. Perhaps most important, heavy users may be
differ significantly from average or infrequent users in terms of their motivations to consume,
their approach to the brand , or their image of the brand. They may be brand-freaks,
consumers who are so committed to the brand that their consumer behavior toward it borders
on the pathological.
B. Switchers and Variety Seekers

PPT 6-7 here
These consumers often buy what is on sale or choose brands that offer discount coupons or
other price incentives. Whether they are pursued through price incentives, high-profile
advertising campaigns, or both, switchers turn out to be a costly target segment. Much can be
spent in getting their business merely to have it disappear just as quickly as it was won.
C. Emergent Consumers
PPT 6-7 here
Emergent consumers offer the organization an important business opportunity. In most

product categories there is a gradual but constant influx of first-time buyers. The reasons for
this influx vary by product category and include purchase triggers such as puberty, college
graduation, marriage, a new baby, divorce, a new job, a big raise, or retirement. Immigration
can also be a source of numerous new customers in many product categories. Emergent
consumers are motivated by many different factors, but they share one notable characteristic:
Their brand preferences are still under development. Developing advertising campaigns to win
with first-time users is often referred to as point-of-entry marketing.
D. Demographics
PPT 6-8 here
Demographic segmentation is used in selecting target segments and includes basic

descriptors like age, gender, race, marital status, income, education, and occupation.
Demographic information has special value in market segmentation because if an advertiser
knows the demographic characteristics of the target segment, choosing media to efficiently
reach that segment is much easier. Demographic information has two specific applications:
 Demographics are commonly used to describe or profile segments that have been
identified with some other variable. If an organization had first segmented its market in
terms of product usage rates, the next step would be to describe or profile its heavy users
in terms of demographic characteristics like age or income.
 Demographic categories are frequently used as the starting point in market
segmentation.
E. Geographic Location
PPT 6-9 here
Geographic segmentation may be conducted within a country by region (for example, Pacific
Northwest versus New England), by state or province, by city, or even by neighborhood.
Climate and topographical features yield dramatic differences in consumption by region for
products like snow tires and surfboards, but geography can also correlate with other
differences that are not so obvious. Eating and food preparation habits, entertainment
preferences, recreational activities, and other aspects of lifestyle have been shown to vary
along geographic lines.
Marketers have merged information on where people live with the U.S. Census Bureau’s
demographic data to produce a form of market segmentation known as geodemographic
segmentation that identifies neighborhoods (by zip codes) around the country that share
common demographic characteristics. One such system, known as PRIZM (potential rating
index by zip marketing), identifies 62 market segments that encompass all the zip codes in the
United States.
F. Psychographics and Lifestyle

PPT 6-10 here
Psychographics is a term that refers to a form of research that emphasizes the understanding
of consumers’ activities, interests, and opinions (AIOs). Psychographics were created as a tool
to supplement the use of demographic data. Because focus on consumers’ activities, interests,
and opinions often produces insights into differences in the lifestyles of various segments, this
approach usually results in lifestyle segmentation. Knowing details about the lifestyle of a
target segment can be valuable for creating advertising messages that ring true to the
consumer.
G. Benefits Sought
PPT 6-11 here
In benefit segmentation, target segments are delineated by the various benefit packages that
different consumers want from competing products and brands.
H. Segmenting Business-to-Business Markets

PPT 6-11 here
The discussion of segmentation has focused on ways to segment consumer markets—the

markets for products and services purchased by individuals or households to satisfy their
specific needs. Consumer marketing is often compared and contrasted with business-to-
business marketing. Business markets are the institutional buyers who purchase items to be
used in other products and services or to be resold to other businesses or households. Business
markets can be segmented using several of the options already discussed.
PPT 6-12 here
III. Prioritizing Segments

PPT 6-13, PPT 6-14, and PPT 6-15 here
Segmenting markets typically yields a mix of segments that vary in their attractiveness to the
advertiser. In pursuing STP marketing, the advertiser must get beyond this potentially confusing
mixture of segments to a selected subset that will become the primary target for its marketing and
advertising programs.
Perhaps the most fundamental criterion in segment selection revolves around what the members
of the segment want versus the organization’s ability to provide it. Every organization has
distinctive strengths and weaknesses that must be acknowledged when choosing its target
segment. Another major consideration in segment selection entails the size and growth potential
of the segment. Segment size is a function of the number of people, households, or institutions in
the segment, plus their willingness to spend in the product category.
A second consideration is the forecasted return on investment (ROI) for the segment. A third
selection criterion is the competitive field—companies that compete for the segment’s business.
Advertisers must first look at the competitive field and then decide whether it has a particular
expertise, or perhaps just a bigger budget, that would allow it to serve the segment more
effectively.
The smaller-is-better segmentation principle has become so popular in choosing segments that it
is now referred to as niche marketing. A market niche is a relatively small group of consumers
who have a unique set of needs and who typically are willing to pay a premium price to the firm
that specializes in meeting those needs.
IV. Targeting
PPT 6-16 here
A. Positioning/Repositioning
Positioning or repositioning is where the advertiser and IBP pros work on crafting the
meaning of the desired brand.
B. The Bahr–InterBrand Positioning Opportunity Method
PPT 6-17 here
The best positioning model comes from Anne Bahr at InterBrand. InterBrand is the world’s
largest and most successful brand consultancy. It has four factors represented by overlapping
circles. The point at which these four meet is considered the best opportunity, the brand’s best
position. They are:
 Relevance: Where is the strong consumer connection? What is the revealed need(s) of
consumers?
 Differentiation: Can the brand stand out as significantly different from others?
 Credibility: Will consumers believe it?
 Stretch: Will the brand’s meaning have continued relevance in changing times? Will it
foster brand extensions?
To derive a brand’s best positioning, you should find the place where the answer to all four
questions is “yes.” Then you know that your positioning is good and sustainable.
C. Essentials for Effective Positioning Strategies

PPT 6-18 here
Effective positioning strategies are based on meaningful commitments of organizational

resources to produce substantive value for the target.
Deliver on the Promise
For a positioning strategy to be effective and remain effective over time, the organization
must be committed to creating substantive value for the customer.
There’s Magic in Consistency
A positioning strategy also must be consistent internally and consistent over time.
Regarding internal consistency, everything must work in combination to reinforce a distinct
perception in the consumer’s eyes about what a brand stands for.
A strategy also needs consistency over time. Consumers have perceptual defenses that
allow them to screen or ignore most of the ad messages they are exposed to. Breaking
through the clutter and establishing what a brand stands for is a tremendous challenge, but
it is a challenge made easier by consistent positioning.
Simplicity and distinctiveness are essential to the advertising task. No matter how much
substance has been built into a product, it will fail in the marketplace if the consumer
doesn’t perceive what the product can do. The basic premise of a positioning strategy must
be simple and distinctive if it is to be communicated effectively to the target segment.
V. Working with a Value Proposition and a Brand Platform

PPT 6-19 here
Brand positioning is often summarized as a value proposition, a brand promise, or a brand

platform. One of the ways to capture and keep a record of what our brand is supposed to stand for
in the eyes of the target segment is by articulating the brand’s value proposition. A value
proposition is a natural extension of concepts that are already familiar; it simply consolidates the
emphasis on customer benefits that has been featured in this chapter. It is a simple sentence or
two that clearly says just what value the brand will be to the customer. The brand promise is
another name for this idea. It is instead expressed in terms of what it is that the brand promises
the customer. Another way of summarizing or “putting it all together” is known as the brand
platform—a core idea that frames an ambition or aspiration for the brand that will be relevant to
target audiences over time.
PPT 6-20 here
A. Now, Making It Happen
The strategic planning triangle proposed by advertising researchers Esther Thorson and Jeri
Moore will be helpful to pull together the concepts presented in this chapter. As reflected in
Exhibit 6.15, the apexes of the planning triangle entail the segment(s) selected as targets for
the campaign, the brand’s value proposition, and the array of persuasion tools that will be
deployed to achieve campaign goals.
Thorson and Moore place identification and specification of the target segment as the
paramount apex in their model. The second important apex in the planning triangle entails
specification of the brand’s value proposition. The final apex of the planning triangle
considers the various persuasion tools that may be deployed as part of the campaign.
ONLINE CONTENT
The online dynamic content provides both content and insights into the ethical, global, and social
media aspects of Advertising and Integrated Brand Communication. The integrated assessment
components will provide students with assurances that they have mastered the assigned readings
and provide feedback to faculty that the students have completed the assigned readings and data
on student mastery of the content. In addition to the feedback on the correct answers, all of the
assessment objects have been enhanced with additional tags that can be aggregated to provide
feedback on how individual students have done on a specific learning outcome such as ethics.
The online material can be delivered in one of two formats. For instructors who want to provide
students with access to the Ad Age on Campus access as well as the online advertisements and
student facing self-assessment quizzes, CourseMate will be provided with each new copy of
Advertising and Integrated Brand Communication. Alternatively, students can decide to purchase
CourseMate on its own which will also come with the MindTap Reader, which is the e-book
version of the print product. For faculty that desire to have a variety of more in-depth
assignments to integrate into their course and a desire to have more student data that can be used
for analytic purposes, MindTap can be purchased with an enhanced capability. Faculty can
customize the student experience and integrate the experience for their students into the campus
Learning Management System. For a complete guide into the reporting and analytical capabilities
available to faculty, consult the Assurance of Learning section of this manual.
Boxed Feature Questions and Tags

QUESTION DIFFICULTY BUSPROG DISC BLOOM'S
Primary Primary
Chapter 06 Social Media 01 Easy Technology Promotion Application
Chapter 06 Social Media 02 Challenging Technology Promotion Synthesis
Chapter 06 Globalization 01 Moderate Diversity Promotion Application
Chapter 06 Globalization 02 Challenging Diversity Promotion Synthesis
Chapter 06 Ethics 01 Moderate Ethics Promotion Application
Chapter 06 Ethics 02 Challenging Ethics Promotion Synthesis
CHAPTER 6-Social Media
http://adage.com/article/media/york-times-brings-rich-media-ads-ipad-app/242924/
 6.SocialMedia.Q1
Segmentation, Targeting, and Positioning are still relevant strategies now that digital media
such as iPad advertising is prevalent.
Answer: T
 6.SocialMedia.Q2
Describe what the article means by “banner blindness” – something that is crucial to the
principles of this chapter.
Answer: Banner blindness is a term that refers to online consumers, and how they tend to
ignore banner ads or such ads that run across or sit at the top of the screen. They are used to that
space as ad space, and are as such “blind” to the ads.
CHAPTER 6-Globalization
http://adage.com/article/privacy-and-regulation/student-project-kill-digital-ad-
targeting/242955/
 6.Globalization.Q1
Online consumers are segmented, and the student interviewed here is worried if this is used for:
A. online target marketing
B. price discrimination
C. service variance
D. service discrimination
 6.Globalization.Q2
Based on your knowledge of STP strategy, do you as a consumer prefer accurate target marketing
based ads (or non-accurate ones)? Why? Then, how or why would you use this student’s
idea/program?
Answer: This response has two parts. One, a yes or no on preference. This should be
explained (e.g., yes I prefer target advertising because it is informative while mismatched
ads are a waste of time to see and are annoying). Two, how or why they would use the
program described in the article (e.g., I would not use the program because I prefer my
ads to be targeted based on me).
CHAPTER 6-Ethics
http://adage.com/article/media/paula-deen-brand-recover/242914/
 6. Ethics.Q1
Paula Deen is a human brand that needs to work on some positioning post communication crisis.
Drag each aspect of the process to its proper place in the diagram.
1 2 3
Communication Brand Repositioning Brand Positioning
Crisis
Answer:
1 2 3
Brand Repositioning
Brand Positioning Communication
Crisis
 6. Ethics.Q2
Would you have pulled relationships or contracts in sponsorship or marketing
communications with Paula Deen post the media attention to her situation? Why/not?
Answer: The correct response will address yes or no they would not have pulled
relationships (e.g., yes) and why (e.g., her image could transfer to associated people or
companies as being racist).
Homework Grid
Homework Description
1-a. Drag and Drop Mazda: Strategy
1-b. True/False Mazda: Campaigns
1-c. Multiple choice Mazda: Targeting
2-a. True/False STP Marketing
2-b. Multiple choice Segments
3-a. Multiple choice JC Penney: Emergent consumers
3-b. True/False Psychographic segmentation
3-c. Multiple Select Segment selection criteria
Homework is available to faculty to select and integrate into their customized course.
THE FOLLOWING SECTIONS OF THE INSTRUCTOR’S MANUAL HAS A SELECTION OF CASES THAT
CAN BE INCORPORATED INTO YOUR COURSE AS OUT OF CLASS ASSIGNMENTS, OR AS A METHOD
FOR INITIATING CLASSROOM DISCUSSION.
End of Chapter Questions
1. Explain the appeal of emergent consumers as a target segment. Identify a current ad campaign
targeting an emergent-consumer segment.
Emergent-consumer segments are appealing because of their long-term potential. Emergent

consumers are first-time buyers with no brand loyalty. Marketers who target such segments
may be able to cultivate lifetime relationships that can lead to substantial revenue streams.
Check your college newspaper for the credit-card companies working your campus to
solicit new cardholders: this is emergent-consumer targeting.
2. It is often said that psychographics were invented to overcome the weaknesses of demographic
information for describing target segments. What unique information can psychographics
provide that would be of special value to advertisers?
Psychographic variables gauge consumers’ activities, interests, and opinions. When used to
describe segments, they are likely to stimulate insights about the motives of consumers in
the target segment. Psychographic descriptors can also be quite useful to the art and
creative directors and copywriters responsible for developing specific advertisements.
Psychographic information helps those who prepare advertisements to better understand the
consumer they are trying to reach and engage.
3. What criteria did Mobil Oil Corporation weigh most heavily in its selection of Road Warriors
as a target segment? What do you think will be the biggest source of frustration for Mobil in
trying to make this strategy work?
In the segmentation example involving Mobil Oil Corporation, Road Warriors were
selected as the target segment because of their high spending levels. Also, targeting Road
Warriors allowed Mobil to position itself away from other gasoline retailers who promote
low price as their primary competitive emphasis. To make this strategy work, Mobil must
deliver high-quality service each time a Road Warrior visits. Finding, training, and
motivating its attendants to deliver premium service will be a major challenge for Mobil.
4. Explain why smaller is better when selecting segments to target in marketing strategies.
Smaller really can be better when it comes to selecting target segments. Large segments
typically are familiar to most of the key players in the competitive field, and they may be
characterized by intense competitive rivalries. Smaller segments can be very attractive in
that they may not offer enough business to support more than one company, but if yours is
that one company, serving a small segment can be profitable. Those who seek to identify
and pursue “one-company” segments are commonly focused on market niches.
5. What essential elements of a positioning strategy can help overcome the consumer’s natural
tendency to ignore, distort, or forget most of the advertisements that she or he is exposed to?
Most advertising that consumers are exposed to has no effect on them. A sound positioning
strategy can be important in overcoming the consumer’s natural tendency to screen out
most commercial messages. The distinctiveness and simplicity of a positioning strategy are
essential elements that help an advertiser break through the clutter to reach the consumer.
Consistency over time is another critical element for overcoming consumers’ innate
perceptual filters—communicating the same basic themes to the target segment over time
helps the message to stick in the minds of consumers.
6. Review the section—Essentials for Effective Positioning Strategies. As you think about failed
General Motors’ brands like Pontiac and Oldsmobile, which essentials did they fail to meet?
Pontiac began an important turnaround during the 1980s with its "We Build Excitement"
and “Grand Am—Excitement Well Built” campaigns. The automaker's positioning strategy
had simple, distinctive themes, and was consistent over time. Unfortunately, when Pontiac
failed to deliver substance to back up its claim of being "well built," consumers turned
away. Plastic fenders, under-powered engines borrowed from GM's Chevy and Buick
divisions, and premium pricing turned off the customer segment looking for excitement.
With Oldsmobile, the demise started with an ill-conceived and ill-fated campaign “This is
not your father’s Oldsmobile.” Problem was—it WAS your father’s Oldsmobile with
outdated handling and styling. This was a classic case of failing to deliver on the brand
promise.
7. Which of the market segmenting strategies discussed in this chapter are likely to be most
effective for business-to-business marketing? Why would techniques that are highly successful
in targeting consumer markets, such as lifestyle segmentation, be less effective?
Market segmentation by usage patterns and geographic factors can be highly effective in
reaching specific business markets, where customers generally have established
purchasing, shipping, and manufacturing schedules. In general, simpler segmentation
strategies are likely to be most effective in B2B settings, such as targeting business
customers by their experience with the purchasing process. Segmentation strategies based
on customer motivation, such as lifestyle measures or psychographics, typically do not
translate to business climate where the emotional factor in purchasing decisions is greatly
reduced.
Experiential Exercises
1. Like other reality television programs, Project Runway entertains viewers by staging dramatic
competitions between everyday people. A cable-TV hit for many years, Runway features
supermodel host Heidi Klum, who follows amateur fashion designers as they make original
clothing items with limited time and materials. Each week, contestants face professional
judges, and a loser is sent home, leaving one final contestant to win the big money prize and a
new career in fashion design. Identify the target viewing audience of Project Runway, and
explain how segmenting, targeting, and positioning contribute to the show’s success.
Television networks seek loyal viewers so that they can sell lucrative advertising and
sponsorship to businesses. For marketers of the Lifetime channel’s Project Runway, the
STP process applies both to attracting the viewing audience and attracting advertising
sponsors. Segmenting the viewing audience involves breaking down all possible television
viewers into manageable subgroups. Runway narrows all possible television viewers using
demographic segmentation (women age 18 to 49) and lifestyle segmentation (style-
conscious urban professionals). With this audience tuned in, Lifetime is able to attract
fashion-related advertisers, including cosmetics companies (L'Oréal), hair-care brands
(Garnier, TREsemmé), and clothing retailers (Bluefly, Banana Republic). Finally, Project
Runway is positioned in a unique niche: reality television for fashion lovers.
2. Electronic reading devices are hot, and Amazon’s Kindle and Apple’s iPad are in a heated
battle to win over the bookworms of the world. Kindle focuses solely on reading, whereas iPad
does reading, movies, music, office computing, and more. Some analysts predict that iPad will
eclipse Kindle because it offers many powerful multimedia features; others think Kindle can
hold its own. Make a case for how Amazon might use segmentation and a clever value
proposition to dominate the growing e-books market with its Kindle stand-alone reader.
If Kindle and iPad are equal when it comes to reading books, the outcome of the e-book
wars may depend on which company is better at segmenting audiences and formulating a
value proposition. The right segmentation and value proposition could give Kindle an edge
over iPad, despite the latter’s comprehensive computing features. Kindle has a well-defined
niche as a stand-alone reader for people who like to read books. And while “people who
like to read books” is a much smaller consumer segment than the one Apple is targeting
with iPad, Amazon has the edge on serving that smaller niche. The outcome of the e-book
wars may be determined by who has the better online bookstore, who sponsors the best
social networking clubs at Facebook and Twitter, and who has the most literary credibility
in the minds of people who frequent traditional bookstores. Such functional and emotional
benefits can be influenced by advertising and promotion, especially by skillful market
segmentation and a well-defined value proposition.
3. Compose value proposition statements for, Starbucks Coffee and Levi Strauss Jeans. Each
value proposition should crystallize what each brand offers to consumers and serve as a clear
mission statement for all subsequent STP marketing efforts.
This exercise helps students understand the importance of clarity of mission for advertising
campaigns and IBP. They should demonstrate an understanding of the three key features of
value propositions – the functional, emotional, and self-expressive benefits delivered by
that brand that provide value to customers in a target segment. For each of these highly-
recognizable companies, students should provide examples of benefits in all three
categories: the functional benefits of flavorful coffee at Starbucks and attractive, good-
fitting jeans at Levi; the emotional benefits of Starbucks inviting coffee lounges or Levi’s
connection to American lore; and the self-expressive benefits of letting others know you
are hip, cultured, urbane in the case of both brands.
4. The Folgers campaign was distinctive, in part, because the company spent no money on media,
instead allowing the new ads to circulate for free through user sites such as YouTube. That
strategic decision reflected an understanding that its young target market was more likely to be
online than watching the evening news. What might be the most effective media to reach each
of the following target segments?
a. Upper-income men, ages 45 to 60, for a financial services product.
b. Young homeowners, ages 30 to 40, for a new interior paint product.
c. Teenage boys who live in rural areas for a new basketball shoe.
d. Senior citizens for a new denture paste product.
YouTube might have been a great way to find 20-somethings still figuring out their coffee
habits, as in the instance of the Folgers campaign. But different campaigns and different
target audiences require different media. Students might suggest advertisements in The
Wall Street Journal or USA Today to reach the men in example (a) or the evening news to
reach the seniors in example (d). But more finely targeted efforts might be needed in other
instances—an internet campaign or videogame promotion to reach the teen-agers in
example (c), or advertising on a home improvement cable channel in example (b).

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Chapter 6: Market Segmentation, Positioning, and the Value Proposition

Advertising and Integrated Brand Promotion 7th Edition

Explain the process known as STP marketing.

STP marketing should always be considered when consumers in a category have

Describe different bases that marketers use to identify segments.

Discuss the criteria to target a segment.

Identify the essential elements of an effective positioning strategy.

Review the necessary ingredients for creating a brand’s value proposition.

I. STP Marketing and Advertising

II. Segmenting Markets

A. Usage and Commitment Level

B. Switchers and Variety Seekers

Emergent consumers offer the organization an important business opportunity. In most

Demographic segmentation is used in selecting target segments and includes basic

F. Psychographics and Lifestyle

H. Segmenting Business-to-Business Markets

The discussion of segmentation has focused on ways to segment consumer markets—the

III. Prioritizing Segments

B. The Bahr–InterBrand Positioning Opportunity Method

PPT 6-17 here

C. Essentials for Effective Positioning Strategies

Effective positioning strategies are based on meaningful commitments of organizational

Deliver on the Promise

There’s Magic in Consistency

V. Working with a Value Proposition and a Brand Platform

Brand positioning is often summarized as a value proposition, a brand promise, or a brand

A. Now, Making It Happen

Boxed Feature Questions and Tags

CHAPTER 6-Social Media

Communication Brand Repositioning Brand Positioning

End of Chapter Questions

Emergent-consumer segments are appealing because of their long-term potential. Emergent

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