Chapter Questions
How can markets be segmented?
How can a company best divide a market
into segments?
How should a company choose the most
attractive target markets?
What are the requirements for effective
targeting?
8-1
Mature
consumers
are a rapidly
growing market
8-2
Segmenting Consumer Markets
Geographic
Demographic
Psychographic
Behavioural
8-3
Basic Market Preference Patterns
8-4
Effective Targeting Criteria
Measurable
Substantial
Accessible
Differentiable
Actionable
8-5
Effective Targeting Requires…
• Identify and profile distinct groups of people
who differ in their needs and preferences.
• Select one or more market segments to
target.
• Establish and communicate the distinctive
benefits of the market offering.
8-6
Water Use: 8 Identified Audiences!
• First priority audiences:
–
–
–
–
Local/elected officials
Operators
Homeowners/landowners
Watershed groups/associations
• Second priority audiences:
– Homeowner associations, septic professionals, civic
groups, NCWS
• See detailed information on each audience
Local/Elected Officials
• Who: Many levels of leadership, often not a
full-time job as a leader
• Knowledge: Ins and outs of local
community
• Motivators: Serving community, reduced
complaints, saving money
• Barriers: Lack of time and financial cost to
address issue
Community Water System Operators
• Who: In charge of many things, not just
water system
• Knowledge: About doing their job, but less
about community outreach/policy change
• Motivators: Do the right thing, save time,
less monitoring
• Barriers: Don’t have authority, little time
Homeowners and Landowners
• Who: Individuals with on-site septic
systems living in small communities
• Knowledge: Know about on-site systems
• Motivators: Protect water, save money,
protect property values
• Barriers: Source of problem may be
outside jurisdiction, limited interest until
“crisis” occurs
Watershed Groups and Associations
• Who: Groups with a specific water focus
• Knowledge: Lots about water in general,
not as much about septic/drinking water
• Motivators: Doing the right thing, making
a difference, activism
• Barriers: Distrusts industry, dislikes
compromise
Homeowner Associations
• Who: Groups of homeowners living in
clustered communities
• Knowledge: Varies greatly, some will know
more than others about this issue
• Motivators: Protecting drinking water,
saving money
• Barriers: Issue is complex and potentially
expensive to deal with
Septic Installers and Service Providers
• Who: Mostly small business people who
interact with customers
• Knowledge: Lots about septic, less
about source water protection
• Motivators: Business-oriented, making
money
• Barriers: Lack of time
Civic/Special Interest Groups
• Who: Involved individuals within a
community
• Knowledge: How to get things done in
their community
• Motivators: Doing the right thing, positive
publicity
• Barriers: Competing with other issues
Non-Community Water Systems
• Who: Mostly part-time operators
• Knowledge: Often understand both
drinking water and wastewater
• Motivators: Technical assistance, ability to
be involved in community
• Barriers: Lack of time, not adept at
communications with others
Similarities Across all Groups
• Time is limited
• Prefer short messages
• Agreement that issue is important, but
understanding is limited/incomplete
• Few resources (financial or time) to
readily devote to this issue
• Other competing priorities
Differences Across Groups
• Initial interest in this topic
• Willingness to work on this topic
• Level of authority to solve problem or
address issue
• Level of comfort in working with others in
community to solve problems
• Communication styles and preferences