This document provides definitions and explanations of key marketing concepts from Philip Kotler, a prominent marketing expert. It defines market segments as groups of consumers who respond similarly to marketing efforts. It also discusses the importance of differentiation, positioning a product in consumers' minds relative to competitors, and identifying demographic, geographic, psychographic, and behavioral factors for segmenting markets. Additional concepts covered include competitive advantage, value propositions, niche versus mass marketing, product positioning, and micro marketing.

1. MARKETING CONCEPTS
Don’t buy market share. Figure out how to earn it.
- Philip Kotler

2. MARKET SEGMENT
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
“A group of consumers who respond in a similar way to a
given set of marketing efforts”
-Philip Kotler
SMART:
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

Specific
Measurable
Accessible
Reliable
Targetable

3. DIffERENTIATION

“Actually differentiating the market offering to create
superior customer value”
- Philip Kotler

4. POSITIONING

“Arranging for a product to occupy a clear, distinctive, and
desirable place relative to competing products in the
minds of target consumers”
- Philip Kotler

5. DEMOGRAPhIC SEGMENT
fACTORS
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Age
Gender
Family size
Family life cycle
Income
Occupation
Education
Religion
Nationality

6. GeoGraphical seGment
factor



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World region or country
Country region
City or metro size
Density
Climate

7. psychoGraphic seGment
factors
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Social class
Lifestyle
Personality

8. Behavioral seGment factors
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Occasions
Benefits
User status
User rates
Loyalty status
Readiness stage
Attitude toward product

9. niche marketinG

“A market-coverage strategy in which a firm goes after a
large share of one or a few segments or niches”
- Philip Kotler

10. mass marketinG

An attempt to appeal to an entire market with one basic
marketing strategy utilizing mass distribution and mass
media. Also called undifferentiated marketing.

11. Product Positioning

“Positioning is the act of designing the company’s offering
and image to occupy a distinctive place in target market’s
mind.”
- Philip Kotler

12. comPetitive advantage

“An advantage over competitors gained by offering greater
customer value, either through lower prices or by
providing more benefits that justify higher prices”
- Philip Kotler

13. value ProPosition

“The full positioning of a brand - the full mix of benefits
upon which it is positioned”
- Philip Kotler

14. micro marketing

“The practice of tailoring products and marketing
programs to the needs and wants of specific individuals
and local customer groups – includes local marketing and
individual marketing”
-Philip Kotler

15. PoP vs. Pod
POP

The aspects of the
product offering that
are largely similar to
the offerings of like
competitors
POD

The aspects of the
product offering that
are relatively distinct
to the offerings of
like competitors

16. Positioning statement.

“A statement that summarizes company or brand
positioning – It takes this form: To (target segment and
need) our (brand) is (concept) that (point-of-difference)”
- Philip
Kotler

“For serious athletes, Nike gives confidence that provides
the perfect shoe for every sport”

17. tHanK YoU