In-Class Assignment 2

Segmenting, Targeting, Positioning

Brand: Yakima Car Racks

Bases of Segmentation

Consider the bases of segmentation that were discussed in class including:

1. Geography: Region, Climate, market size, etc.
2. Demographic Bases: Income, Age, Gender, etc.
3. Psychographics: personality, lifestyle, etc.
4. Other: Benefits sought, usage rate, first-time vs. loyal customer, etc.

Basis of Segmentation #1._________________________

Levels:__________ ______________ ______________ ______________

Justify why this is an important basis of segmentation: ___________________________ ________________________________________________________________________________________________________________________________________________________________________________________________________________________

Basis of Segmentation #2._________________________

Levels:__________ ______________ ______________ ______________

Justify why this is an important basis of segmentation: ___________________________ ________________________________________________________________________________________________________________________________________________________________________________________________________________________

Basis of Segmentation #3._________________________

Levels:__________ ______________ ______________ ______________

Justify why this is an important basis of segmentation: ___________________________ ________________________________________________________________________________________________________________________________________________________________________________________________________________________

Combine Bases of Segmentation

Form at least three Segments Which segments are most attractive?

Consider what makes one segment more attractive than another to your company (structural attractiveness, growth potential, size, alignment with company objectives, etc.)

Segment 1: _________________________

Level of Base 1:_______________

Level of Base 2:_______________

Level of Base 3:_______________

Briefly evaluate this segment: _______________________________________________ ________________________________________________________________________________________________________________________________________________

Segment 2: _________________________

Level of Base 1:_______________

Level of Base 2:_______________

Level of Base 3:_______________

Briefly evaluate this segment: _______________________________________________ ________________________________________________________________________________________________________________________________________________

Segment 3: _________________________

Level of Base 1:_______________

Level of Base 2:_______________

Level of Base 3:_______________

Briefly evaluate this segment: _______________________________________________ ________________________________________________________________________________________________________________________________________________

Targeting

What is your targeting strategy? (e.g., undifferentiated, concentrated, multi-segment) ________________________________________________________________________

Which segment(s) will you target (select from the previous page):

________________________________________________________________________

Describe your target market in more detail (e.g. who is your prototypical customer)?

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Estimate the size of your target market (e.g., how many people/households within the United States are within your target market)? Provide a brief description of how you arrived as this estimate:____________________________________________________ ________________________________________________________________________________________________________________________________________________________________________________________________________________________

Positioning

For [target segment] who [statement of the need] the [product/service name] is a [product/service category] that [statement of benefit/value proposition]. Unlike [primary competitive alternative], our product [statement of primary differentiation].

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