Customer Driven Marketing

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Marketing Assessment Part 1 Using a real life example of a company outline the key components of a customer driven marketing strategy . illustrate how these components are utilised by your selected company in implementing a customer driven marketing strategy. With times changing, technology advancing and globalisation, competition for business has never been greater. Businesses have started implementing customer driven marketing strategies. A customer driven marketing strategy focuses on four different steps: 1. Segmentation - separation of the market into different segments 2. Choosing a target market from the segmentation 3. Positioning - positioning the product being offered or brand in the minds of the selected target market 4. Differentiation - differentiating the product being offered or brand from its' competitors Through these four steps businesses can answer the questions : 1. What customers will we serve? 2. How can we serve these customers best? 1. Market Segmentation: There are many different types of customers, products and needs that exist in the market. Market segmentation allows people to determine which segments offer the best opportunities. By doing this it allows businesses to reach smaller segments of customers effectively and efficiently with products and services that meet their unique needs. Markets can be segmented according by: * Geographic segmentation: this involves dividing the market by its physical location, whether it be a nations, regions, states, countries, cities or even neighbourhoods. * Demographic segmentation : divides the market into groups based on variables such as age, gender, family size, family life cycle, income, occupation, education, religion, race, generation, and nationality. * Psychographic segmentation: divides buyers into different groups based on social class,

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