Objective:
Identify
market segments that can be quickly dominated, and
from which you can smoothly grow.
Benefits:
Generate faster revenue streams, create barriers to
competition, establish corporate and product
credibility in the market.
Silicon Strategies Role: Identifies
the best segmentation models, then prioritizes segments to kick start
revenue flow, create an impenetrable base and logically grow into other
profitable areas.
Market segmentation is the science
of dividing a large market into small,
manageable pieces that can be prioritized
and dominated.
Segmentation
of markets is non-trivial. Most markets are so large that it is
financial suicide selling to the entire
market at once. Rare is the product that
meets all needs of all buyers in a market. Market
segmentation allows companies to dominate one
part of the market, and from that firm
foothold, dominate other market segments in
a logical sequence.
 A
market segment is a group of customers that share
common needs, desires, motivations and
buying patterns. Buyers in a one market segment communicate with one another and
require peer-to-peer references before
buying. Carefully identified market segments create
self-referencing "sub-markets" that
are easier to sell into, create barriers to
competitors, and make future growth
even easier.
Failure to segment markets is fatal. Imagine selling one copy of your
product to one person in each country. How
would these individuals reference other
people in their country? Only a handful of
individuals in each country would be
influenced by their neighbors. Geography,
language and common communications would
prevent explosive exposure of your product.
Likewise, product requirements and
demands
are different in each market segment. By initially focusing
on only one or two market segments, you complete a
whole product
for those market segments and thus create compelling
reasons to buy. Then, and only then, will
your products experience rapid market
growth.
The science of market segmentation requires
examining all possible market segmentation models
and selecting the one that meets several
specific criteria. Silicon Strategies
Marketing market segmentation analysis
consultants guide your management team through the
decision processes leading to cleanly
define and prioritize your market segments. The steps in our
process include the following:
- Review market segmentation and why it is
important
- Review the goals for the
market segmentation process
- Brainstorm all possible market segmentation
models
- Review associated corporate or
product objectives
- Review each market segmentation model
against six essential criteria
- Select a market segmentation model, filtering those that are not viable
- List how prospects would be
identified and approached
- Compare the selected market
segmentation model to product life-cycle
- List the expected market segments within
the model
- Confirm that market segments are self-referencing and addressable
- Prioritize market segments for market
dominance
Contact Silicon
Strategies Marketing for a telephone
consultation about market segmentation
analysis and how to conquer
your markets one segment at a time. |
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