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Marketing Segmentation Targeting And Setting Marketing Essay


In marketing segmentation, targeting and positioning of the merchandise is necessary, it is also known as STP process. Segmentation helps the supervisor to recognize which area they have to focus on regarding to geography, demographics, public or other factors. After segmentation targeting is done which requires the needs of concentrate on customers to be fulfilled. After segmentation and targeting the positioning comes which refers to what sort of consumer have image of the product. Segmentation, concentrating on and positioning go together for an company to attain the desirables.

Market segmentation is a process of grouping people as well as similar needs or smaller sections who show similar buying pattern. Segmentation is performed either for differentiating a product or to aim for a particular group of men and women to earn revenue. It is a kind of critical evaluation rather than approved system or process.

According to Kotler 2010 the requirements of effective segmentation must be:


It depends upon the buying capacity of the consumer.


For effective segmentation the merchandise should be easily accessible and the needs of the consumer are satisfied.


There should be adequate number of folks to buy the product.


This market section has made different sections and they respond accordingly based on the market need.


This will depend on how the product draws in and acts the sections.

When the concentrate is on segmented markets an organization is permitted to use its resources better and efficiently in doing so increasing the chances of its success in the market.

According to Kotler 2010 for the effective segmentation of Iphone the buying capacity of the consumer is a little low due to laws and regulations of economics. An Apple iphone costs around 299 which is a lot of cash and people think a lot before buying it. The Apple iPhone is greatly accessible to USA, UK and many Europe but Apple will not start its iPhone in countries where they feel people will not be in a position to pay the purchase price. Regarding to (Western world & Mace, 2007) Apple differentiates itself from its competitors through invention. The iPhone offers unique features which cannot be imitated and will be offering the latest feature which appeals to customers to choose the product.

Blackberry on the other side like iPhone has a low buying power because of the fact that it's regarded as a business telephone but they have its own market in which it excels. Blackberry sells everywhere and in the business world there are enough visitors to choose the product. Blackberry is undoubtedly a business cellphone which differentiates it; aside from being a business cellphone Blackberry also differentiates itself by its unique Blackberry messenger service in which a person can send and receive instant texts anywhere and in any part of the world without having to be incurred. The Blackberry messenger service differentiates this mobile from its competitors. Blackberry has drawn a whole lot of business workers as the telephone serves the purpose of being linked with the business anytime.

Nokia is different from both Blackberry and the Apple iPhone they have high buying electricity because it has a mobile for everyone may be rich or poor. Nokia has entered the market segments of both Blackberry and Apple iPhone and is doing quite nicely. The Blackberry is competing with Nokia E - series which is the business enterprise model of Nokia and then for the Apple iPhone it is the N - series. Aside from these series there are other series as well which focuses on the different segments of the contemporary society. Nokia has its products in every section and which is at less price than its rivals that assist Nokia to identify itself. Nokia provides its products in every part of the world unlike the iPhone and Blackberry with a lesser price. This low price is achieved because of economies of range, since it acts a large number of the population. Because of Nokia mobile phones being cheap, reliable and long lasting than its opponents it allures a great deal of customer. Nokia offers similar features as proposed by its counterparts. Nokia products aren't always cheap it includes a product range called the Vertu which offers the world's most exclusives devices.

According to (Dibb et. al. 2006) the advantages of segmentation of market can be carried out by:-

Understanding the client - This involves a careful review and research to comprehend the client needs and wishes. Therefore an company can give attention to the key factors and put more focus on understanding the client thereby enhancing brand devotion.

Understand the competitor - This requires a study of the marketplace to know who the primary competition for an organisation is and which segment is been targeted. So the organisation will pay more emphasis on the product.

Effective tool allocation - After understanding the client and the opponents an organisation is within an improved position to make use of the business resources effectively.

Strategic Marketing Planning - Dividing the marketplace into segments helps the marketers to develop special plans to get the attention of the competitors.

Market segmentation

According to Dibb et. al. 2006 market can be segmented according to

Demographic Variables

Age Occupation

Gender Family Size

Race Family life cycle

Ethnicity Religion

Income Social Class


Geographic Variables

Population City Size

Region Market Density

Urban, Suburban, Climate


Psychographic Variables

Personality attributes



Behaviouristic Variables

Volume usage

End use

Benefit expectations

Brand loyalty

Price sensitivity

(Designed from Dibb et. al. 2006 pp - 228)

Demographic Variables

It is the characteristics of the population such as years, gender, race that assist in knowing the needs and buying behavior and can be registered. These kinds of factors can be assessed easily. It helps a business to know very well what type of human population they will target. According to Kotler 2010 by segmenting in line with the age helps the firms to develop the product in line with the needs and wishes of that generation. Segmentation matching to gender or income divides the marketplace accordingly and it can help to understand what type of products a business has to deliver to be able to achieve

Geographic Variables

The need of customers changes in line with the populace, region, and local climate. The geographic variables play a very important role on the market segmentation because the needs of customer may be different for different customers. An organization can decide in which countries they would like to operate in or what kind of population they are going to target.

Psychographic Variables

The personality characteristics, motives and lifestyles are sometime used to section the market. It can be used alone or mixed with any other kind of market segment. It really is useful when the competition is intense. The marketers could also segment in line with the social classes of differing people; this helps a business to learn who their customers is and the type of products they wish to have.

Behaviouristic Variables

The market can even be segmented based on the consumer behavior towards the merchandise. It may depend upon brand devotion or on the price of the product. According to Kotler 2010 market can be segmented corresponding to devotion also. If the product has made a direct effect on the client then the company has achieved that which was required.

Market segmentation of Apple iPhone

The Apple iPhone is targeted for people lying in this band of 18 to 40 time olds because they are the ones who are interested in purchasing the technology. Mainly men somewhat than females are targeted for the iPhone as a result of applications, video games and features such as wireless internet which are generally used more by the male human population as compared to the latter. The customers buying the Iphone are usually students who belong to higher school as well as higher middle income as the phone is quite expensive they even entail early on adopters and the first majority. The iPhone is launched and sold first mainly across USA, UK plus some parts of Europe because they may have the infrastructure ready for it and also because your competition in these countries is silent intense. Apple iPhone has a solid brand image in your brain of the client as Apple says it isn't a cellphone it's an event. The after sales service provided by Apple is great which assists with creating brand commitment among the client. The price setting strategy of the Apple iPhone 4 4 is premium strategy meaning the apple iphone 4 4 is of very high quality and also to get that quality the consumers have to pay a higher price.

Market segmentation of Blackberry

The blackberry is regarded as a business mobile phone it isn't targeted towards a particular generation but it is targeted towards the business enterprise segment consisting of business professionals. There is absolutely no social class for the blackberry because it targets the complete business segment. The phone offers business features like access to e - email cellular internet and many other but the most impressive feature it has is the blackberry messenger by which a person can receive and send text everywhere, anytime on the globe free of charge. This is the most unique feature of the blackberry phone it gets connected to any blackberry cellphone on earth by using a pin number which is different for each and every blackberry phone. After the connection is set a business employees can receive and send text messages which is very helpful an individual can receive important information delivered to him on the go.

Market segmentation of Nokia

Nokia on the other hands has gained access into all the sections they have something for everybody. Nokia has customers of all age group demographically it focuses on younger age ranges who want the latest features at a realistic price. There is no social class involved for Nokia as it has a cellphone for every sociable class. The people buying Nokia telephones can be learner, business professionals. Nokia through high creation has been able to reduce the expense of it phones which helps it to fully capture a huge market. Nokia has a product for each customer in every bracket. The E- Series of Nokia is designed for the business school, the N - series is for the young adults and has normal phones for other folks as well. Nokia has developed a mobile phone for the highly social school known as the Vertu which can be an exclusive for the higher category. Nokia has varied with the number of products it includes on the market. Nokia has different models and they show up in several price brackets in line with the features they provide. Nokia has made its brand image as a reliable and value for money kind of devices.


According to the segmentation techniques utilised by Iphone, Blackberry and Nokia it is noticeable that Apple iPhone segments itself from Blackberry and Nokia by creativity, Blackberry segments itself from others using its Blackberry messenger service and Nokia sections itself from others through reliable and value for money phones.


According to Kotler 2010 setting can be defined as the perspective of a consumer brain on what he thinks about the brand. Regarding to Dibb et. al. 2007 it's the image a consumer perceives about the product. The position of Iphone4 4 in individuals head is quite high it is reduced product having high participation of research and development and is targeted towards people who are rich, getting a good lifestyle. It is a premium product having a high price and having exclusive features which other cellular phone manufacturers don't possess. There is a price because of this exclusivity because the way Apple has made a graphic of the iPhone 4 4 is exceptional the punch series for apple iphone 4 4 is This changes everything. Again. meaning the iPhone 4 4 has changed just how we used to check out cell phones it is something different than traditional or it could be defined as an technology or it is an experience rather than phone. Due to the exclusivity and the features engaged Apple can place a premium price for the iPhone 4 4 as the features and the knowledge of iPhone 4 4 can't be imitated by another mobile manufacturer.


The iPhone 4 4 provides a wide range of stunning features the iOS 4 is the heart and soul of the telephone, it's the world's most effective mobile operating software which distinguishes it from other mobile phones. The technology and the features found in the operating system could keep the iPhone 4 4 at least 4 years before its competitors. The operating system also helps the phone to execute a whole lot of things simultaneously without even slowing down the performance of the telephone. The 3. 5 inch widescreen multi touch display of the iPhone 4 4 has an answer of 960 X 640 pixels which is high and it helps in giving a sharp pictures. The 5 megapixel camera along with LED flashlight assists with capturing in low light. The apple iphone 4 4 is the globe thinnest smartphone ever before built and the glass applied to the screen comprises of aluminium silicate which helps it to be durable and scratch resistant and is recyclable too. In addition to the hardware Apple has a assortment of over 3, 00, 000 applications in the App Store which assists with increasing the performance of the iPhone as well as it updates the telephone automatically. It includes a built in adobe flash drive of 32 GB or 16 GB and the built in battery offers a much longer backup for telephone calls and internet.


According to Kotler 2010 the positioning maps are being used by marketers to know the belief of the brand in consumer thoughts. The positioning of iPhone 4 4 lies in the luxury segment with high performance plus a high price than its competitors.


According to Dibb et. al. 2007 brand collateral can be defined as the worthiness of brand which goes above the functional benefits of the merchandise.

(Designed from Dibb et. al. 2007, pp - 319)

Brand equity performs an important role in the positioning of the merchandise in the market it's the value of the brand which the consumer keeps at heart.

Brand Name Awarness

The brand name awareness helps the buyer to get familiar with the brand which assists with the selection of the brand. In the case of iPhone 4 4 the brand is known to everyone and the individuals are switching to apple iphone 4 4 because it is reliable and is of high quality in comparison with other brands.

Brand Loyalty

Brand loyalty can be an essential requirement of the brand collateral since it reduces your competition with other mobile phone brands. It can help in retaining the prevailing customers and a prospect of clients to be dedicated. Apple with the start of apple iphone 4 4 has been faithful to its customers by delivering the most progressive features and exclusivity that preceding version of iPhone had. this helped Apple in keeping their customers and welcoming clients.

Perceived Brand Quality

Customers see quality with the brand. Apple is a brandname and has higher level of quality therefore the consumer has in mind that whatever product Apple can make will be of high quality and benchmarks that's the reason Apple can sell the iPhone 4 4 at a premium price allowing it to reduce competition.

Brand Association

Apple has generated a lifestyle for itself; the affirmation associated with iPhone 4 4 is This changes everything. Again. This means that Apple has launched the iPhone 4 4 as a distinctive product which has the best features and value amongst its challengers.


Brand elements can be defined as the several criteria's where a product is defined.

Brands elements should be


Apple apple iphone 4 4 has a strong brand image and is easily identified by the buyer. Apple has been positioned among the very best 10 brands of 2010 on the globe it holds third position therefore there is a quite strong image of the company in the heads of the consumers and the consumers can identify the brand.


After the introduction of the Iphone4 4 the consumers have started out switching their telephones to the apple iphone 4 4. This implies that the merchandise that is apple iphone 4 4 has been up to the mark in terms of creating the brand image.


The Apple iPhone 4 4 using its unique features and its own futuristic looks has become a favourite for most consumers.


Apple iPhone 4 4 has been successful in keeping as well as bettering the brand image that earlier version of iPhone possessed, so the transfer between the iPhone 3GS and apple iphone 4 4 has been treated quite nicely by the company.


The iPhone 4 4 with its applications has adapted itself in the market and the engineering involved in every section of the cellphone helps it to be adjustable.


The iPhone 4 4 can be an exclusive phone aimed at the higher sociable class, it helps to protect itself from its opponents by enhancements. The Iphone4 4 is not easily accessible to everyone as the price is tranquil high which helps in offering exclusivity to the customers therefore apple is able to protect its brand image.


Brand equity takes on a vital role in the setting of the merchandise and the brand elements support the brand to which the product is associated to. Apple sells the iPhone 4 4 at a premium price since it is the value that is from the product has been created using brand equity. Apple has shown a high engagement of research and development for the apple iphone 4 4 and the features it provides are remarkable.


Kotler, P & Armstrong, G (2010) 'Ideas of Marketing' 13th edition, NJ: Pearson Prentice Hall

Dibb, S. , et. al. (2006), ' Marketing : Ideas and Strategies', Boston, MA ; Abingdon : Houghton Mifflin

West, J. , & Mace, M. (2007). Stepping into a mature industry through innovation:Apples iPhone strategy. Druid summer months cofrence.

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