Reflection of lecture
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 1
UTS CRICOS 00099F
24736: Marketing Communications
Target Audience Selection
Week 4, Spring 2020 Kaye Chan
UTS CRICOS 00099F
Review of last weeks lecture
Partitioning
Relationship of partitioning to marketing objective of market share
Competitive frame
Budgeting
Objective & task method
How does advertising contribute to profit?
1
2
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 2
Partitioning
Note: it is related to marketing objectives & market share
Beverages
Competitive frame: where partitioning diagram ends & where true competition occurs
UTS CRICOS 00099F
Target audience selection
24736, Week 4, Spring 2017
uts.edu.au
3
4
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 3
Overview of this week
Target audience selection
Target audience action objectives
Communication objectives (introduction)
Campaign planning process
5
6
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 4
Target audience selection
Customer markets -> segmentation
Method for selecting target audience
Product markets -> partitioning
Segmentation methods
A combination of Demographic | Psychographic | Geographic | Usage/Behavioural
Time to think
When is a purchaser different to user
What examples can you think of?
7
8
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 5
Target audience positioning decision
Who is the brand for?
General stakeholder types
End customers (Business or Consumer)
Other publics
Trade customers
Media
Specific campaign target audiences
Behavioural segmentation
Social-demographic segmentation etc
uts.edu.au
Conceptualising our market
12
13
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 6
Customer Flow Framework D
e fin
e d p
o p u la
tio n
C o n su
m e rs
a w
a re
C o n su
m e rs
p u rc
h a se Option 1
Option 2
Option 3
Option 4
Brand A (yr brand) (MS %)
Competitor X
Competitor Y
F re
q u e n cy
p u rc
h a se
d ,
b re
a d th
u sa
g e e
tc
Leverage Points
D e fin
e d p
o p u la
tio n
C o n su
m e rs
a w
a re
C o n su
m e rs
p u rc
h a se Option 1
Option 2
Option 3
Option 4
Brand A (yr brand) (MS %)
Competitor X
Competitor Y
F re
q u e n cy
p u rc
h a se
d ,
b re
a d th
u sa
g e e
tc
14
15
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 7
Customer flow leverage points
1. Public awareness/behaviour
2. Innovation/education
3. Competitor activities
4. Consumer behaviour
Market Opportunities
1-2: shape market
3. penetrate market
4. maximise usage of brand
Behavioural segmentation
a. Brands current customers
b. Competitor brands customers Who could in principle try or re-try our brand, but dont
c. Non-users of the category Who could in principle try the category via our brand
16
17
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 8
Behavioural segmentation
1. NCU new category users
2. BL brand loyals
3. BS brand switchers
4. OBL other brand loyals
Behavioural segmentation
1. NCU
2. BL
3. BS
4. OBL
Required for assignment 1 & 2
18
19
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 9
Out brands customers
a. Brand loyals
b. Favourable brand switchers
A. Our brands current customers
a. Brand Loyals (BLs)
Those who prefer to buy our brand
1. Single-brand loyals (monogamous)
2. Multi-brand loyals (polygamous)
uts.edu.au
20
21
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 10
Divided loyalty Polygamy is rife!
Occurs in markets
Where brands are not heavily differentiated Where consumer choice was constrained, but has now opened
up to competition Where consumer choice was limited, but where alternatives are
more accessible/convenient That were characterised by habit/inertia, but where switching
costs have fallen
uts.edu.au
Our brands current customers
b. Favourable Brand Switchers (FBSs) Those who occasionally buy our brand & also buy other brands
3. Experimental favourable brand switchers
4. Routinised favourable brand switchers
uts.edu.au
22
23
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 11
B. Other brands customers
c. Other-Brand Switchers (OBSs)
d. Other-Brand Loyals (OBLs)
uts.edu.au
B. Other brands customers
c. Other-Brand Switchers (OBSs)
Those who buy other brands, but not ours
5. Favourable other-brand switchers
6. Neutral other-brand switchers
7. Unfavourable other-brand switchers
uts.edu.au
26
27
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 12
B. Other brands customers
d. Other-Brand Loyals (OBLs)
Those who prefer to buy a brand other than ours
8. Favourable other-brand loyals
9. Neutral other-brand loyals
10. Unfavourable other-brand loyals
uts.edu.au
C. non-users of the category
New category users (NCUs)
Those who might enter the category, if they see a need to do so
11. Positive new category users 12. Unaware new category users 13. Negative new category users
uts.edu.au
28
29
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 13
Summary – Four (main) buyer groups
uts.edu.au
Brand Loyals (BL)
New Category
Users (NCU)
Other Brand loyals (OBL)
Brand Switchers
(BS)
Non-users
Category users
Other brands
Our brand
How do multi-brand loyals (MBLs) differ from Brand
Switchers (BS)?
30
33
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 14
How do multi-brand loyals (MBLs) differ from Brand Switchers (BS)?
Audience # brands Loyalty level
Sensitivity to price & promotion deals
MBLS
BS
BS sometimes called promiscuous consumers MBLS sometimes called polygamous consumers
How do multi-brand loyals (MBLs) differ from Brand Switchers (BS)?
Audience # brands Loyalty level
Sensitivity to price & promotion deals
MBLS Switch among 2-3 brands
Loyal to a few brands
Not influenced for brands outside loyalty set
BS Switch among more brands
Non-loyal Are influenced
34
35
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 15
uts.edu.au
How do you determine which buyer group is
being targeted?
How do you determine which buyer group is being targeted?
Look to ad for clues in language
i. switch to our product => BS or OBL
uts.edu.au
36
38
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 16
How do you determine which buyer group is being targeted?
Look to ad for clues in language
i. switch to our product => BS or OBL
ii. try our product; test drive; trial; sample => NCU, OBS
uts.edu.au
Life cycle clues introductory/growth stages
Focus on:
NCU -> enter category by buying your brand as it offers something to them
BL -> build this group quickly BS -> focus -> can you make them BL?
Experimental & routinized BS typical in early PLC OBL -> could target, but if they have tried brand and
didnt buy it they offer limited sales potential
uts.edu.au
39
41
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 17
Life cycle clues growth maintenance
Focus on:
NCU -> X , unless enticing with sales promotion; generally aware & would have tried it by now
BL -> ? : get them to buy more or more often FBS -> ? : shifted from experimental to routinized
BS, get them to switch to your brand more often/ switch out less often
OBL -> X
uts.edu.au
Managing switching costs
Increase switching costs to competing brands – reward cards
Decrease switching costs from competing brands – consolidating bank accounts
E.g. one energy supplier: can now merge gas & electricity
uts.edu.au
42
43
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 18
Managing switching costs
Management difficulties
Not all competitors can simultaneously increase switching costs to competing brands and decrease switching costs from competing brands
Winners & losers
Competitive parity
Not all consumers want to be switched
It remains convenient to keep a repertoire
A repertoire helps to spread risk
uts.edu.au
Who to focus on
Target audience that offers greatest sales potential
44
45
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 19
Specific campaign target audiences
Other bases of segmentation
Geographic coverage
Geo-demographic & socio-demographic delineation
Psychographic or lifestyle delineation
Personality traits
etc,
uts.edu.au
Assessing target audience potential
Leverage
Determine the leverage from each group & use this to focus communication efforts
Leverage is (# buyers in prospect group x $ sales increase per capita less $ cost of marcoms campaign)
Or use CLV for buyers in each prospect group
uts.edu.au
47
49
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 20
Leverage
BLs single-brand loyals
(monogamous buyers)
lock-in customers with increasing amounts of service & rewards/benefits
Establish databases of customers, use DM/email etc to get them to buy more &/or cross-sell other related products/services
uts.edu.au
Leverage
BLs multi-brand loyals
(Polygamous buyers)
Tend to be larger buyers (brand & category) -> greater sales contribution
Scope to buy more from you and less from someone else
& vv!!
uts.edu.au
50
51
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 21
Target audience positioning decision
To simplify: describe two levels of audience
1. Primary target audience greatest leverage i.e., most of sales increase comes from
2. Secondary target audience ongoing & supplementary sales comes from
uts.edu.au
UTS CRICOS 00099F
52
53
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 22
Target audience action
1. Trial
a. NCU b. OBL c. OBS
uts.edu.au
Customer acquisition i.e. getting new users to your brand from other brands or new entrants to the category
Target audience action
2. Usage
a. Repeat -> BL b. Switching -> BS
uts.edu.au
Retention of loyal brand users / getting more of the frequent users of brand
66
67
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 23
Communication objectives
uts.edu.au
Communication Effect
Definition
Category Need Buyers perception of requiring something (product or service) to remove or satisfy a perceived discrepancy between the current motivational state & the desired motivational state
Brand Awareness Buyers ability to identify (recognise or recall) the brand within the category in sufficient detail to make a purchase
Communication objectives
uts.edu.au
Communicatio n Effect
Definition
Brand Attitude Buyers overall evaluation of the brand with respect to its perceived ability to meet a currently relevant motivation (consists of an emotional or affective motivation-related component which energises brand choice & a logical or cognitive component which directs choice toward the particular brand)
68
69
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 24
Communication objectives
uts.edu.au
Communication Effect
Definition
Brand Purchase Intention
Buyers self-instruction to purchase the brand or take purchase-related actions
Purchase Facilitation
Buyers perception of other marketing factors (the 4Ps that can hinder or stimulate purchase)
Summary target audience selection
1. Define the target audience in terms of its behaviour (i.e. routinized FBSs)
2. Delineate the target audience with reference to additional factors (eg. geographical coverage)
3. Fine-tune by taking account of involvement, media & behavioural sequence model (eg low-involvement category for buyers & influencers, with limited decision-making)
4. Feed this information into later stages of marcom planning, especially positioning & target audience action objectives
uts.edu.au
70
72
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24736_Spr2020_week4_targetaudience.pdf
Home>Business & Finance homework help>Marketing homework help>reflection of lecture
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 1
UTS CRICOS 00099F
24736 Marketing Communications
Target Audience Selection
Week 4, Spring 2020 Kaye Chan
UTS CRICOS 00099F
Review of last weeks lecture
Partitioning
Relationship of partitioning to marketing objective of market share
Competitive frame
Budgeting
Objective & task method
How does advertising contribute to profit?
1
2
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 2
Partitioning
Note: it is related to marketing objectives & market share
Beverages
Competitive frame: where partitioning diagram ends & where true competition occurs
UTS CRICOS 00099F
Target audience selection
24736, Week 4, Spring 2017
uts.edu.au
3
4
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 3
Overview of this week
Target audience selection
Target audience action objectives
Communication objectives (introduction)
Campaign planning process
5
6
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 4
Target audience selection
Customer markets -> segmentation
Method for selecting target audience
Product markets -> partitioning
Segmentation methods
A combination of Demographic | Psychographic | Geographic | Usage/Behavioural
Time to think
When is a purchaser different to user
What examples can you think of?
7
8
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 5
Target audience positioning decision
Who is the brand for?
General stakeholder types
End customers (Business or Consumer)
Other publics
Trade customers
Media
Specific campaign target audiences
Behavioural segmentation
Social-demographic segmentation etc
uts.edu.au
Conceptualising our market
12
13
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 6
Customer Flow Framework D
e fin
e d p
o p u la
tio n
C o n su
m e rs
a w
a re
C o n su
m e rs
p u rc
h a se Option 1
Option 2
Option 3
Option 4
Brand A (yr brand) (MS %)
Competitor X
Competitor Y
F re
q u e n cy
p u rc
h a se
d ,
b re
a d th
u sa
g e e
tc
Leverage Points
D e fin
e d p
o p u la
tio n
C o n su
m e rs
a w
a re
C o n su
m e rs
p u rc
h a se Option 1
Option 2
Option 3
Option 4
Brand A (yr brand) (MS %)
Competitor X
Competitor Y
F re
q u e n cy
p u rc
h a se
d ,
b re
a d th
u sa
g e e
tc
14
15
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 7
Customer flow leverage points
1. Public awareness/behaviour
2. Innovation/education
3. Competitor activities
4. Consumer behaviour
Market Opportunities
1-2: shape market
3. penetrate market
4. maximise usage of brand
Behavioural segmentation
a. Brands current customers
b. Competitor brands customers Who could in principle try or re-try our brand, but dont
c. Non-users of the category Who could in principle try the category via our brand
16
17
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 8
Behavioural segmentation
1. NCU new category users
2. BL brand loyals
3. BS brand switchers
4. OBL other brand loyals
Behavioural segmentation
1. NCU
2. BL
3. BS
4. OBL
Required for assignment 1 & 2
18
19
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 9
Out brands customers
a. Brand loyals
b. Favourable brand switchers
A. Our brands current customers
a. Brand Loyals (BLs)
Those who prefer to buy our brand
1. Single-brand loyals (monogamous)
2. Multi-brand loyals (polygamous)
uts.edu.au
20
21
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 10
Divided loyalty Polygamy is rife!
Occurs in markets
Where brands are not heavily differentiated Where consumer choice was constrained, but has now opened
up to competition Where consumer choice was limited, but where alternatives are
more accessible/convenient That were characterised by habit/inertia, but where switching
costs have fallen
uts.edu.au
Our brands current customers
b. Favourable Brand Switchers (FBSs) Those who occasionally buy our brand & also buy other brands
3. Experimental favourable brand switchers
4. Routinised favourable brand switchers
uts.edu.au
22
23
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 11
B. Other brands customers
c. Other-Brand Switchers (OBSs)
d. Other-Brand Loyals (OBLs)
uts.edu.au
B. Other brands customers
c. Other-Brand Switchers (OBSs)
Those who buy other brands, but not ours
5. Favourable other-brand switchers
6. Neutral other-brand switchers
7. Unfavourable other-brand switchers
uts.edu.au
26
27
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 12
B. Other brands customers
d. Other-Brand Loyals (OBLs)
Those who prefer to buy a brand other than ours
8. Favourable other-brand loyals
9. Neutral other-brand loyals
10. Unfavourable other-brand loyals
uts.edu.au
C. non-users of the category
New category users (NCUs)
Those who might enter the category, if they see a need to do so
11. Positive new category users 12. Unaware new category users 13. Negative new category users
uts.edu.au
28
29
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 13
Summary – Four (main) buyer groups
uts.edu.au
Brand Loyals (BL)
New Category
Users (NCU)
Other Brand loyals (OBL)
Brand Switchers
(BS)
Non-users
Category users
Other brands
Our brand
How do multi-brand loyals (MBLs) differ from Brand
Switchers (BS)?
30
33
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 14
How do multi-brand loyals (MBLs) differ from Brand Switchers (BS)?
Audience # brands Loyalty level
Sensitivity to price & promotion deals
MBLS
BS
BS sometimes called promiscuous consumers MBLS sometimes called polygamous consumers
How do multi-brand loyals (MBLs) differ from Brand Switchers (BS)?
Audience # brands Loyalty level
Sensitivity to price & promotion deals
MBLS Switch among 2-3 brands
Loyal to a few brands
Not influenced for brands outside loyalty set
BS Switch among more brands
Non-loyal Are influenced
34
35
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 15
uts.edu.au
How do you determine which buyer group is
being targeted?
How do you determine which buyer group is being targeted?
Look to ad for clues in language
i. switch to our product => BS or OBL
uts.edu.au
36
38
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 16
How do you determine which buyer group is being targeted?
Look to ad for clues in language
i. switch to our product => BS or OBL
ii. try our product; test drive; trial; sample => NCU, OBS
uts.edu.au
Life cycle clues introductory/growth stages
Focus on:
NCU -> enter category by buying your brand as it offers something to them
BL -> build this group quickly BS -> focus -> can you make them BL?
Experimental & routinized BS typical in early PLC OBL -> could target, but if they have tried brand and
didnt buy it they offer limited sales potential
uts.edu.au
39
41
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 17
Life cycle clues growth maintenance
Focus on:
NCU -> X , unless enticing with sales promotion; generally aware & would have tried it by now
BL -> ? : get them to buy more or more often FBS -> ? : shifted from experimental to routinized
BS, get them to switch to your brand more often/ switch out less often
OBL -> X
uts.edu.au
Managing switching costs
Increase switching costs to competing brands – reward cards
Decrease switching costs from competing brands – consolidating bank accounts
E.g. one energy supplier: can now merge gas & electricity
uts.edu.au
42
43
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 18
Managing switching costs
Management difficulties
Not all competitors can simultaneously increase switching costs to competing brands and decrease switching costs from competing brands
Winners & losers
Competitive parity
Not all consumers want to be switched
It remains convenient to keep a repertoire
A repertoire helps to spread risk
uts.edu.au
Who to focus on
Target audience that offers greatest sales potential
44
45
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 19
Specific campaign target audiences
Other bases of segmentation
Geographic coverage
Geo-demographic & socio-demographic delineation
Psychographic or lifestyle delineation
Personality traits
etc,
uts.edu.au
Assessing target audience potential
Leverage
Determine the leverage from each group & use this to focus communication efforts
Leverage is (# buyers in prospect group x $ sales increase per capita less $ cost of marcoms campaign)
Or use CLV for buyers in each prospect group
uts.edu.au
47
49
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 20
Leverage
BLs single-brand loyals
(monogamous buyers)
lock-in customers with increasing amounts of service & rewards/benefits
Establish databases of customers, use DM/email etc to get them to buy more &/or cross-sell other related products/services
uts.edu.au
Leverage
BLs multi-brand loyals
(Polygamous buyers)
Tend to be larger buyers (brand & category) -> greater sales contribution
Scope to buy more from you and less from someone else
& vv!!
uts.edu.au
50
51
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 21
Target audience positioning decision
To simplify: describe two levels of audience
1. Primary target audience greatest leverage i.e., most of sales increase comes from
2. Secondary target audience ongoing & supplementary sales comes from
uts.edu.au
UTS CRICOS 00099F
52
53
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 22
Target audience action
1. Trial
a. NCU b. OBL c. OBS
uts.edu.au
Customer acquisition i.e. getting new users to your brand from other brands or new entrants to the category
Target audience action
2. Usage
a. Repeat -> BL b. Switching -> BS
uts.edu.au
Retention of loyal brand users / getting more of the frequent users of brand
66
67
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 23
Communication objectives
uts.edu.au
Communication Effect
Definition
Category Need Buyers perception of requiring something (product or service) to remove or satisfy a perceived discrepancy between the current motivational state & the desired motivational state
Brand Awareness Buyers ability to identify (recognise or recall) the brand within the category in sufficient detail to make a purchase
Communication objectives
uts.edu.au
Communicatio n Effect
Definition
Brand Attitude Buyers overall evaluation of the brand with respect to its perceived ability to meet a currently relevant motivation (consists of an emotional or affective motivation-related component which energises brand choice & a logical or cognitive component which directs choice toward the particular brand)
68
69
24736 Marcoms_ Lecture 4 20/08/2020
KC Spr 2020 24
Communication objectives
uts.edu.au
Communication Effect
Definition
Brand Purchase Intention
Buyers self-instruction to purchase the brand or take purchase-related actions
Purchase Facilitation
Buyers perception of other marketing factors (the 4Ps that can hinder or stimulate purchase)
Summary target audience selection
1. Define the target audience in terms of its behaviour (i.e. routinized FBSs)
2. Delineate the target audience with reference to additional factors (eg. geographical coverage)
3. Fine-tune by taking account of involvement, media & behavioural sequence model (eg low-involvement category for buyers & influencers, with limited decision-making)
4. Feed this information into later stages of marcom planning, especially positioning & target audience action objectives
uts.edu.au
70
72
Applied Sciences
Architecture and Design
Biology
Business & Finance
Chemistry
Computer Science
Geography
Geology
Education
Engineering
English
Environmental science
Spanish
Government
History
Human Resource Management
Information Systems
Law
Literature
Mathematics
Nursing
Physics
Political Science
Psychology
Reading
Science
Social Science
Home
Blog
Archive
Tags
Essay
Reviews
Contact
google+twitterfacebook
Copyright © 2019 HomeworkMarket.com
