Market segmentation, market gridding and market positioning are important terms in the field of marketing management. Let us discuss their definitions:
Definition Market Segmentation
According to Philip Kotler “Market Segmentation is the process of dividing a market into distinct sub groups of consumer with distinct needs, characteristics or behavior.” Marketing segmentation means dividing the entire market into small parts with more or less similar features. It is the way to group together the buyers, who have common needs in order to give them more satisfaction. For example, gini and johny concentrate on children segment, ponds company concentrate on women segment. Thus, all the markets are made up of segments and these segments are further divided into sub-segments. Therefore it is the duty of the marketing manager how to do market segmentation either to concentrate on women segment, men segment or children segment to get the maximum profit.
Definition Market Gridding
Market Gridding means to split the market on the basis of the usage of the product. Like small cooler is needed by an owner of a small shop, normal size coolers are required by a family for their house, while big cooler or needed by owner of a factory. So when the marketer divides the market on the basis of the use of the product it is known as market gridding.
Definition Market Positioning
Market Positioning is the position of the product in the eyes of the consumer on the basis of its important attributes. It means how the product is defined by the consumer. Like:
Bournvita — a health drink
Surf excel —as powerful detergent
So it is the responsibility of the company to use different selling technique for each product and stick to it. A company can position it’s product in the minds of the consumer on the basis of it’s features, on the basis of it’s price, on the basis of it’s benefits, on the basis of it’s quality etc.