Theoretical Models - Marketing Related Models

The purpose of market segmentation is to categorize the heterogeneous needs of consumers in the market, so as to develop different product strategies according to the characteristics of different segments and their fit with the enterprise. Therefore, the market segmentation is based on consumer demand, rather than product. In practice, the following attributes can be based on the division of consumer groups.

Market segmentation includes the following steps:

1. Selecting the product market range. The company should be clear about the scope of their own product market in a particular industry, and as a basis for the development of market development strategy.

2. List the needs of potential customers. Geographic, demographic, psychological and other aspects of the market demand for products and customer purchasing behavior of the variables listed.

3. Analyze the different needs of potential customers. The company should be different potential customers for sampling and evaluation of the listed demand variables, to understand the customer's **** the same needs.

4. Develop appropriate product strategies . Investigate, analyze, and evaluate the market segments, and ultimately determine the market segments that can be entered, and develop the appropriate product strategy.

Target Market

The target market is the market segmentation, the enterprise is ready to meet the needs of its products and services to meet the needs of one or several sub-markets.

Selecting the target market, there are generally the following three strategies:

Market Positioning

Market Positioning refers to the enterprise according to the selected target market in the competitive situation, customer demand for products and preferences, and other factors, to determine their own products or services in the target market competition. This step can be analyzed using SWOT theory.

The 4Ps marketing theory was put forward by Rodgers McCarthy in 1960 in the book "Basic Marketing", he was in the " Marketing Mix Theory " on the basis of the most important impact on the enterprise, and the most controllable four factors extracted to form the 4P marketing

With the increasingly fierce competition in the market, the media dissemination speed is faster and faster, the 4Ps theory applicable to the seller's market is more and more challenged. 1990, the United States scholar Professor Robert Lauterpacht put forward with the traditional marketing of the 4Ps theory corresponds to the 4Cs marketing theory.

4Ps is a business-centered marketing model, while 4Cs is a customer-centered marketing model. 4Ps marketing mix to 4Cs marketing mix change, specific performance:

4Ps and 4Cs

4Ps and 4Cs is a complementary rather than alternative Relationship :

User behavior refers to the various actions taken by users to acquire and use products or services, including the process of awareness, familiarity, trial, use, and becoming a loyal user. User behavior analysis is based on the Internet user behavior and the data behind the behavior of statistics and analysis, to build out the user behavior model and user image, and then provide a reliable basis for the refined operation of the product or marketing.

Common user behavior analysis model: behavioral event analysis, page click analysis, user retention analysis, funnel model analysis, user behavior path analysis, user profile analysis and user health analysis.

See Common User Behavior Analysis Models

SWOT analysis, or situational analysis, was proposed in the early 1980s by Wyrick, a professor of management at the University of San Francisco, and is often used in corporate strategy development, competitor analysis, etc. SWOT analysis is actually a way to analyze the internal strengths, external competition, and environmental factors. strengths, external competition and the environment and other factors, to help enterprises gather resources and actions in their own strengths and where there are more opportunities, making corporate strategy clearer.

SWOT analysis is the analysis of competitive advantages (Strengths), competitive disadvantages (Weaknesses), external opportunities (Opportunities) and external threats (Threats), of which Strengths and Weaknesses Analysis mainly focuses on the enterprise's own strengths and its comparison with competitors, Strengths and weaknesses analysis mainly focuses on the enterprise's own strengths and its comparison with competitors. The Strengths and Weaknesses Analysis focuses on the strengths of the enterprise and its comparison with its competitors, while the Opportunities and Threats Analysis focuses on the changes in the external environment and their possible impact on the enterprise. In this analysis, all internal factors (i.e. strengths and weaknesses) should be brought together and then evaluated using external forces.

Steps of analysis

1. Confirm the current strategic objectives of the enterprise;

2. Confirm the changes in the external environment of the enterprise;

3. Confirm the key competencies and key constraints of the enterprise based on the combination of the enterprise's resources;

4. Construct an evaluation system to classify the strengths and weaknesses of the enterprise According to the correlation between strengths and weaknesses and opportunities and threats, the division gets four combinations of (strengths, opportunities), (strengths, threats), (weaknesses, opportunities), and (weaknesses, threats);

5. Positioning the division results on the SWOT analysis chart or filling in the SWOT analysis table;

6. Utilizing the SWOT analysis chart/table to carry out the strategic analysis.

SWOT Analysis Model

PEST is Political, Economic, Social and Technological, which is a macro-environmental analysis.

Porter's Five Forces model, also known as Porter's Competitiveness Model, was proposed by Michael Porter in the early 1980s, mainly used for business strategy development and competitive situation analysis. The five forces refer to the bargaining power of suppliers, the bargaining power of buyers, the ability of potential competitors to enter, the ability of substitutes to replace, and the competitiveness of competitors in the industry.