Market Segmentation, Targeting Strategy and Positioning
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Market Segmentation can be defined as the process of identifying different ways to “divide a total market into groups with similar product needs to develop profiles os the resulting market groups”. (Marketing Management: Analysis, Planning, Implementation, and Control, 7th edition, Phillip Kotler). This theory of marketing segmentation can be applied to well-known brands of today such as Oral B. Oral B started as an innovative toothbrush company in the 1940s, where the first ‘multi-tufted, soft-nylon bristle toothbrushes’ were made (The purpose of this essay is to analyse Oral B’s marketing plan for their Oral-B 3D White Diamond-Strong toothpaste. This will include examining Oral B’s targeting strategy, target market and segmentation variables, product positioning and constructing a perceptual map relative to Oral-B’s competitors.
Oral B appears to be using a differentiated marketing strategy as their targeting strategy for its 3D White Diamond-Strong toothpaste. A differentiated marketing strategy is a strategy in which a company decides to “target a number of market groups and develops a different marketing mix to each segment”(Kotler, Burton, Deans, Brown & Armstrong, 2013). Oral B suggests that its 3D White Diamond-Strong toothpaste has targeted different market segments and has distinguished itself from Oral B’s other product lines. For instance, Oral-B’s 3D White Diamond-Strong toothpaste targets market segments who pay greater attention to teeth whitening as it contains a ‘whitelockTM technology’ that removes up to ‘90% of surface stains’, revealing a ‘whiter smile’(Oral B, 2017). While in Oral-B’s Gum Care & Sensitivity Repair Toothpaste product line, it targets consumers who deal sensitivity pain in their gums as this toothpaste forms a ‘therapeutic layer’ around the tooth to help with painful sensitivity and ‘prevent future causes of sensitivity’(Oral B, 2017). Oral-B’s approach of using the differentiated marketing strategy seems to be appropriate as the oral care market is a heterogeneous one, indicating that every Oral B toothpaste product has different distinct features, in hopes to satisfy all its consumers after the segmentation process.
Target market and segmentation variables
Market segmentation is generally utilized by the Australian industry to choose the most suitable target market(Dolnicar, Sara &Leisch, Friedrich, 2017). Oral B has a variety of target market in the oral care market to suit different needs to different people. Oral-B’s 3D White Diamond-Strong toothpaste mainly targets individuals teens to middle-aged females who are in need of teeth whitening(globalcompose.com, 2015). Oral-B’s 3D White Diamond-Strong toothpaste also aims to improve the issues of individuals who neglect basic oral care, having bacteria residue around their set of teeth. Oral-B’s target market is perhaps solidified through the decision to place famous Australian artists such as Delta Goodrem(popsugar.com, 2014) and Bachelorette’s own Anna Heinrich(Morning glory: Anna Heinrich, 2016) as Oral-B’s 3D white ambassadors. By allocating these well-known artists as ambassadors of the 3D white toothpaste, this encourages more female teens to follow in their footsteps, hence buying Oral-B’s 3D White Diamond-Strong toothpaste.
The four bases for segmenting the market are demographic segmentation, geographic segmentation, psychographic segmentation and behavioral segmentation (Tynan A. Caroline &Drayton Jennifer, 1985). These base variables are suitable to identify homogeneous customer group so marketers can target specific segments. Demographic segmentation groups consumers based on age, sex, family, race, and religion; while geographical segmentation involves ‘divinding the market into countries, states, regions, counties, cities, towns, or neighborhoods. Psychographic segmentation measures personality and lifestyle to develop marketing mix for specific customers and behavioral segmentation involves grouping consumers according to ‘how they buy, use, and feel” about products (Dibbs, Sally &Blois Kelly, 2000, p.380). Oral-B’s target market for its 3D White Diamond-Strong toothpaste suggests that females in their teens are its main demographic segmentation. Words such as ‘Diamond’ usually attracts the female gender and Oral B has used that as an advantage to appeal more towards the female sex. Moreover, the inclusive of ‘3D’ for the name of the toothpaste likely suggest that Oral B is targeting a younger, more tech-savvy group of consumer, hence dividing the market through behavioral segmentation. These tech-savvy individuals would presumably live in higher end cities or neighborhood, thus developing target markets based on geographical locations. Finally, promising to “remove 90% of surface stains in one week” and providing a “dazzling mint flavour” that keeps your breath “feeling fresh as you smile”(Oral B,2017), Oral B dives into the lifestyle and personalities of its 3D White Diamond-Strong toothpaste to psychologically persuade their consumers to purchase the toothpaste. Evidently, longing for a “celebrity looking smile” or having confidence in Australian artist, Delta Goodrem as Oral-B’s 3D white ambassador (Laura Wilson, Two Days to Whiter Teeth, 2014), Oral B has perhaps done a good job in selecting an appropriate target market and segmentation variables to achieve its desired goal by positioning its product to the general public.
Base Theory Evidence
Demographic age, sex, family, race and religion Geographic countries, states, regions, counties, cities, towns, or neighborhoods Psychographic personality and lifestyle Behavioural how they buy, use, and feel about products 462280021780500(Dibbs et al., Oxford Textbook of Marketing, 2000)
Product positioning relates to consumer’s ideas of a product’s features, functions, quality and the pros and cons relative to a competing brand (Boone, Louis E., and David L. Kurtz. Contemporary Marketing, 2006). In the case for Oral B, its product positioning statement is likely to go along the lines as follow: For female teens who desire greater oral appearances, Oral-B’s 3D White Diamond-Strong toothpaste is an oral care product that is among the most advance toothpaste in Australia. Oral-B’s 3D White Diamond-Strong toothpaste product line features the ‘whitelockTM technology’ that is capable of removing ‘90% of surface stains’ within 7 days, while. It also assists in preventing future stains in the fine line of your teeth (Oral B, 2017), unlike traditional toothpaste which just removes bacteria around teeth, lacking the whitening prowess of Oral-B’s 3D White Diamond-Strong toothpaste.
Perceptual mapping is commonly used by marketers to examine the market structure, design new products and develop advertising strategies (Hauster, John R. & Koppelman, Franks S., 1979). Perceptual mapping is an imagery way attempting to visualize customer’s impression of a product. Usually, the position of the product is displayed relative to their competition (Mccarthy, E. J., Mcguiggan, I. R., Perreault, D. W., & Quester, G. P., 2007). Commonly, the most perceptual mapping is two dimensional, and the evaluative criteria chosen for Oral-B’s 3D White Diamond-Strong toothpaste is its whitening abilities and its effective flavors that promises fresh breath. These two categories were chosen as it was strong determinant attributes that distinguish Oral-B’s 3D White Diamond-Strong toothpaste from its competitors. Below is the perceptual mapping for Oral-B’s 3D White Diamond-Strong toothpaste.
Sensodyne Repair and protect, Colgate cavity protection, darling double action
Text theory is in the journal articles
Purpose of your essay
How it has promoted and include all the headings in this para
Background info on this product(Oral B,2017)
Differentiated- target several market sectors, target cavity control…, design’s separate from each, in hope of repeat purchasing (Kotler)
State how OralB has used a differentiated(to target stuff) and why they used it
Target market and segmentation variables
Define target market, target market selection
Variety of target markets, the specific market for teens with tooth yellowing problem
Segmentation variables, define it
Demographic: Females teens, famsPsychographic: Whitening and bacteria removing
Study.com, get all the theories(study.com,2017)
The table, do all the variables.
To teenagers and adults
Oral B 3D white… is the brand of
That offers whitening and bacteria killing.
Greater whitening skills, Greater need for whitening
Effective bacteria killing, ineffective bacteria killing
Compare with 3 competition as the dots
Shows how consumers see it,