1. Positioning- Positioning is the act of designing the company’s offering and image to occupy a distinctive place in the minds of the target market. The goal is to locate the brand in the minds of consumers to maximize the potential benefit to the firm. The result of positioning is the successful creation of a customer focussed value proposition.
a) Mahindra & Mahindra positioned their SUV Scorpio to life style oriented consumers.
b) Indica by Tata Motors for small car consumers who want a more spacious vehicle.
c) Domino’s Pizza for convenience-minded pizza lovers . Benefits being delivery, speed, and good quality.
2. Mind share- Mind share or the development of consumer awareness or popularity, is one of the main objectives of advertising and promotion. When people think of examples of a product type or category, they usually think of a limited number of brand names.
a) The term googling describing the act of online searching.
b) Very few people realize that "Band-Aid" is a specific brand of first-aid adhesive bandage, and they refer to all such items by that name even if it is a different brand.
c) Xerox is often used in case of copying.
3. Perceptual mapping- Perceptual mapping is a graphics technique used by asset marketers that attempts to visually display the perceptions of customers or potential customers. Typically the position of a product, product line, brand, or company is displayed relative to their competition.
Perceptual maps can have any number of dimensions but the most common is two dimensions. Any more is a challenge to draw and confusing to interpret.
The perceptual map below shows consumer perceptions of various automobiles on the two dimensions of sportiness/conservative and classy/affordable. This sample of consumers felt Porsche was the sportiest and classiest of the cars in the study (top right corner). They felt Plymouthwas most practical and conservative (bottom left corner).
Perceptual Map of Competing Products
Cars that are positioned close to each other are seen as similar on the relevant dimensions by the consumer.
4. Multidimensional scaling (MDS)- is a set of related statistical techniques often used in information visualization for exploring similarities or dissimilarities in data. MDS is a special case of ordination. An MDS algorithm starts with a matrix of item–item similarities, then assigns a location to each item in N-dimensional space, where N is specified a priori. For sufficiently small N, the resulting locations may be displayed in a graph or 3D visualisation.
5. Conjoint analysis- is a statistical technique used in market research to determine how people value different features that make up an individual product or service.
The objective of conjoint analysis is to determine what combination of a limited number of attributes is most influential on respondent choice or decision making.
A product or service area is described in terms of a number of attributes.
For example, a television may have attributes of screen size, screen format, brand, price and so on. Each attribute can then be broken down into a number of levels. For instance, levels for screen format may be LED, LCD, or Plasma.
6. Factor analysis - is a statistical method used to describe variability among observed variables in terms of a potentially lower number of unobserved variables called factors. In other words, it is possible, for example, that variations in three or four observed variables mainly reflect the variations in a single unobserved variable, or in a reduced number of unobserved variables. Factor analysis searches for such joint variations in response to unobserved latent variables.
7. A target market or target audience is a group of customers that the business has decided to aim its marketing efforts and ultimately its merchandise. A well-defined target market is the first element to a marketing strategy. The...
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