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Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens
Benefits of Segmentation
Effective use of resources Gain a focus Create Value for a target market Positioning
Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens
Market Segmentation
Market Targeting
3. Develop measure of segment attractiveness 4. Select target segments 5. Develop positioning for target segments 6. Develop a marketing mix for each segment
Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens 2003 Pearson Education, Inc. Upper Saddle River, NJ 07458
Market Positioning
Mass Marketing
Segment Marketing
Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens
National
Regional/City
Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens
Market Segmentation
Geographic Segmentation
Geographic segmentation calls for dividing the market into different geographical units such as nations, states, regions, countries, cities or neighborhoods. Characteristics of Indian Market More than 5000 towns and over 638,000 villages. Nearly 87% of these villages have a population of less than 2000 people. About 16% of towns (out of 784 towns with a population of over 50000 people which account for 77 % of the urban population) account for 80% of the market-potential value.
Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens 2003 Pearson Education, Inc. Upper Saddle River, NJ 07458 6
Market Segmentation
Demographic Segmentation
Dividing the market into groups based on variables such as: Age Gender Family size or life cycle Income Occupation Education Religion Generation Nationality
Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens
Market Segmentation
Behavioral Segmentation
Dividing the market into groups based on variables such as: Occasions Benefits User status(Non Users, ex user, potential
users, First time users, and Regular user)
Requirements
Measurable
Accessible
Substantial
Actionable
Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens
Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens
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Company Marketing Mix Company Marketing Mix 1 Company Marketing Mix 2 Company Marketing Mix 3 Company Marketing Mix
B. Differentiated Marketing
Market
Segment 1
Segment 2 Segment 3
C. Concentrated Marketing
Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens
Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens
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Positioning Strategies
Positioning by specific product attributes Positioning by benefits Positioning for user category Positioning for usage occasion Positioning against another competitors Positioning against another product class
Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens 2003 Pearson Education, Inc. Upper Saddle River, NJ 07458 14
Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens
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Product Differentiation
Physical attributes Service differentiation Personnel differentiation Location Image differentiation
Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens
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Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens
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Perceptual Map
Positioning map of service level versus price. Source:
Lovelock, Services Marketing, Prentice Hall
Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens
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Perceptual Map
Live shows Easy to reach Good food Fantasy Exercise Fun rides Disneyland
1.0
Little waiting
0.8
Educational, animals Marineland 0.4 of the Japanese Pacific 0.2 Deer Park
0.6
0.2
0.4
Magic Mountain
Marketing for Hospitality and Tourism, 3e Philip Kotler, John Bowen, James Makens
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