Maxis segment its market by splitting customer into different groups of buyers that require different products or distinct marketing mixes. Maxis markets are segmented into geographic segmentation, demographic segmentation, psychographic segmentation and behavioral segmentation, and these segmentations can also be divided further into smaller sections.

 

After identify the various market segmentations of Maxis, the targeting strategies are evaluated. There are four types of targeting strategies which will be evaluated in the areas of :

• undifferentiated marketing

• differentiated marketing

• concentrated marketing

• micromarketing

 

Each of these areas has its own advantages and disadvantages.

​

​

Step 1

Target a generic market

Identify a generic market the company will be focusing on a larger market than it hopes to reach, but at the same time search for suitable target market at this broad level

 

Step 2

Analyze benefits desired in the generic market

Using techniques and procedures of marketing research such as the "SELECT" six steps marketing research process model

 

Step 3

Remove qualifying benefits

Common benefits that all potential customers desire. Because everyone wants them, they are not useful for segmentation purpose

 

Step 4

Group remaining benefits into segments

After removing the qualifying benefits, group the remaining benefits into segments or groups of potential customer desire similar benefits

 

Step 5

Enumerate customer characteristics of segments

These gives the marketers a profile of the consumers or organizational customers based on demographic, geographic and lifestyle variables in each segment

 

Step 6

Evaluate the potential of the segments

This is done using a number of tools such as market potential and sales forecasting; jury of expert opinion; sales force composite; buyer intentions; and regression and time series analysis

 

Step 7

Select the market segment and an appropriate marketing strategy

the selection is depends largely on the market potential in each segment and the company's sales forecast in each segment

 

Source: McColl-Kennedy, (1994) Marketing: Concepts and Strategies.

​

​

In evaluating different market segments, Kotler & Keller (2009) suggest marketers to look at two factors - the segment's overall attractiveness and the company's objectives.

​

Porter (1985) proposes a similar approach but also recommends studying the company's resources and skills as reflected in the value chain, and their suitability to target market alternatives. Aaker (1995) bases his selection criteria on the SWOT analysis produced during the strategic marketing planning process.

​

Lancastre and Massingham (1996) proposed to analyze the characteristics of the market segment itself with regards to a number of key factors such as market size, market dynamics, factors for success, competitive structure and profitability analysis.

​

Selecting a target market is very crucial for a company. Thus, the writer suggests the marketers need to pick up the right group of consumers through a careful segmentation and targeting process to determine the needs and buying behaviour of the consumers in each segment and the differences between one segment and the others. In other words, the marketers not only identify the characteristics of each segments but also the 'distinctive excellence' that is required for catering the specific needs of the consumers and the capability of the company in delivering the products or services.

​

​

​

Analyze And Evaluate The Strategy

​

​