Module 5: Segmentation, Targeting and Positioning (STP)
Customer Focus and Positioning
• attract, serve and retain certain customers
• Focusing on profitable customers, superior analysis of their needs and fitting your
offering to their needs and benefits sought = competitive thinking and positioning.
• changing customer preferences changes demand changes seller supply changes
consumer preferences and demand = market decisions.
• Segmentation Variables for Consumer Markets
o Geographic: World region, climate zone, local weather, trading block, country,
country region, state, province, county, city, suburb, city block, town, village
o Demographic: Genetics, body type, physical handicaps, height, weight, age, life-
stage, cohort generation, family size, education, intelligence, language, income,
wealth, occupation, ethnicity, nationality, tribal identity, family identity, heritage,
religion, political party membership
o Psychographic: Lifestyle, interests, hobbies, persona