1. EFFECT OF MARKET SEGMENTATION, TARGETING AND POSITIO
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EFFECT OF MARKET SEGMENTATION, TARGETING
AND POSITIONING STRATEGIES ON INTERNATIONAL
SCHOOLS IN NAIRO
1
EFFECT OF MARKET SEGMENTATION, TARGETING
AND POSITIONING STRATEGIES ON INTERNATIONAL
SCHOOLS IN NAIRO
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ii
2
TABLE OF CONTENTS
Contents
ABSTRACT.....................................................................................................................................................5
CHAPTER ONE: INTRODUCTION...........................................................................................................1
1.1 Background of the Study......................................................................................................................1
1.1.1 Market Segmentation......................................................................................................................2
1.1.2 Targeting..........................................................................................................................................4
1.1.3 Positioning........................................................................................................................................5
1.1.4 International Schools in Nairobi....................................................................................................7
1.2 Research Problem..................................................................................................................................8
1.3 Research Objectives............................................................................................................................10
1.4 Value of the study................................................................................................................................10
CHAPTER TWO: LITERATURE REVIEW............................................................................................12
2.1 Introduction.........................................................................................................................................12
2.2 Theoretical Foundation.......................................................................................................................12
2.3 Market Segmentation Strategies........................................................................................................13
2.4 Targeting Strategies............................................................................................................................15
2.5 Positioning Strategies..........................................................................................................................17
2.6 Empirical Review.................................................................................................................................19
CHAPTER THREE: RESEARCH METHODOLOGY...........................................................................23
3.1 Introduction.........................................................................................................................................23
3.2 Research Design...................................................................................................................................23
3.3 Population of the Study.......................................................................................................................23
3.4 Data Collection.....................................................................................................................................24
3.5 Data Analysis.......................................................................................................................................24
2
TABLE OF CONTENTS
Contents
ABSTRACT.....................................................................................................................................................5
CHAPTER ONE: INTRODUCTION...........................................................................................................1
1.1 Background of the Study......................................................................................................................1
1.1.1 Market Segmentation......................................................................................................................2
1.1.2 Targeting..........................................................................................................................................4
1.1.3 Positioning........................................................................................................................................5
1.1.4 International Schools in Nairobi....................................................................................................7
1.2 Research Problem..................................................................................................................................8
1.3 Research Objectives............................................................................................................................10
1.4 Value of the study................................................................................................................................10
CHAPTER TWO: LITERATURE REVIEW............................................................................................12
2.1 Introduction.........................................................................................................................................12
2.2 Theoretical Foundation.......................................................................................................................12
2.3 Market Segmentation Strategies........................................................................................................13
2.4 Targeting Strategies............................................................................................................................15
2.5 Positioning Strategies..........................................................................................................................17
2.6 Empirical Review.................................................................................................................................19
CHAPTER THREE: RESEARCH METHODOLOGY...........................................................................23
3.1 Introduction.........................................................................................................................................23
3.2 Research Design...................................................................................................................................23
3.3 Population of the Study.......................................................................................................................23
3.4 Data Collection.....................................................................................................................................24
3.5 Data Analysis.......................................................................................................................................24
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CHAPTER FOUR: DATA ANALYSIS, RESULTS AND INTERPRETATION..................................25
4.1 Introduction.........................................................................................................................................25
4.2 Response Rate......................................................................................................................................25
Table 4.1 Response Rate..........................................................................................................................................25
4.3 General Information...........................................................................................................................26
Table 4.2 General Information.................................................................................................................................26
4.4 Segmentation, Targeting and Positioning Strategies.......................................................................27
Table 4.3 Segmentation, Targeting and Positioning Strategies................................................................................27
4.5 Extent of the application of segmentation, targeting and positioning strategies...........................29
Table 4.4 Extent of the Application of Segmentation, Targeting and Positioning Strategies...................................29
4.6 Effect of segmentation, targeting and positioning strategies...........................................................31
Source: Research findings........................................................................................................................................32
4.7 Discussion of Findings............................................................................................................................33
CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATIONS................................35
5.1 Introduction.........................................................................................................................................35
5.2 Summary..............................................................................................................................................35
5.3 Conclusion............................................................................................................................................37
5.4 Recommendations................................................................................................................................38
5.5 Limitations of the Study......................................................................................................................39
5.6 Suggestion for Further Research.......................................................................................................39
REFERENCES.............................................................................................................................................41
APPENDICES...............................................................................................................................................46
Appendix I: Questionnaire...........................................................................................................................46
Dear respondent,.....................................................................................................................................................46
Section I...................................................................................................................................................................46
Section II..................................................................................................................................................................46
Thank you................................................................................................................................................................50
3
CHAPTER FOUR: DATA ANALYSIS, RESULTS AND INTERPRETATION..................................25
4.1 Introduction.........................................................................................................................................25
4.2 Response Rate......................................................................................................................................25
Table 4.1 Response Rate..........................................................................................................................................25
4.3 General Information...........................................................................................................................26
Table 4.2 General Information.................................................................................................................................26
4.4 Segmentation, Targeting and Positioning Strategies.......................................................................27
Table 4.3 Segmentation, Targeting and Positioning Strategies................................................................................27
4.5 Extent of the application of segmentation, targeting and positioning strategies...........................29
Table 4.4 Extent of the Application of Segmentation, Targeting and Positioning Strategies...................................29
4.6 Effect of segmentation, targeting and positioning strategies...........................................................31
Source: Research findings........................................................................................................................................32
4.7 Discussion of Findings............................................................................................................................33
CHAPTER FIVE: SUMMARY, CONCLUSION AND RECOMMENDATIONS................................35
5.1 Introduction.........................................................................................................................................35
5.2 Summary..............................................................................................................................................35
5.3 Conclusion............................................................................................................................................37
5.4 Recommendations................................................................................................................................38
5.5 Limitations of the Study......................................................................................................................39
5.6 Suggestion for Further Research.......................................................................................................39
REFERENCES.............................................................................................................................................41
APPENDICES...............................................................................................................................................46
Appendix I: Questionnaire...........................................................................................................................46
Dear respondent,.....................................................................................................................................................46
Section I...................................................................................................................................................................46
Section II..................................................................................................................................................................46
Thank you................................................................................................................................................................50
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Appendix II: List of International Schools in Nairobi..............................................................................51
4
Appendix II: List of International Schools in Nairobi..............................................................................51
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5
ABSTRACT
Segmentation, targeting and positioning are tools of marketing used in gaining
competitive advantage by a firm in the market. STP can be viewed as main disciplines in
strategy of marketing; faults in these areas result in failure and tend to be costly; doing it
right leads to success. This study therefore sought to determine the effect of
segmentation, targeting and positioning strategies on international schools in Nairobi.
The study used a cross sectional descriptive survey design and carried out a census of the
34 international schools. The primary data was collected by use of questionnaires that are
semi structured in nature. The semi-structured questionnaires were self-administered to
the marketing manager at each international school. The data collected was edited for
accuracy, consistency and completeness and then analyzed using descriptive statistics
with the help of Statistical Package of Social Sciences. The study found that
segmentation based on gender, fees paid and the education system were the most used
market segmentation strategies by international schools in Nairobi but the application of
undifferentiated targeting, niche market and differentiated marketing strategies by
international schools was minimal. The study found that benefit positioning and product
positioning by providing exceptional quality of services were the most used positioning
strategies by international schools in Nairobi. Additionally, the study found that market
segmentation helps international schools to adjust to specific needs in the market, allows
international schools to serve their clients according to their needs and targeting can
allow international schools to understand the market structure and how to serve it. The
study further established that market positioning strategies can help international schools
to build their image and can help them to create proper appeals in the minds of the target
market. The study concluded that market segmentation strategies, targeting strategies and
positioning strategies are vital to international schools and they help international schools
to brand and position themselves in a better position. The study recommends that the
management of international schools in Nairobi should ensure they incorporate market
segmentation strategies, targeting and positioning strategies since they are vital for
international schools in Nairobi.
5
ABSTRACT
Segmentation, targeting and positioning are tools of marketing used in gaining
competitive advantage by a firm in the market. STP can be viewed as main disciplines in
strategy of marketing; faults in these areas result in failure and tend to be costly; doing it
right leads to success. This study therefore sought to determine the effect of
segmentation, targeting and positioning strategies on international schools in Nairobi.
The study used a cross sectional descriptive survey design and carried out a census of the
34 international schools. The primary data was collected by use of questionnaires that are
semi structured in nature. The semi-structured questionnaires were self-administered to
the marketing manager at each international school. The data collected was edited for
accuracy, consistency and completeness and then analyzed using descriptive statistics
with the help of Statistical Package of Social Sciences. The study found that
segmentation based on gender, fees paid and the education system were the most used
market segmentation strategies by international schools in Nairobi but the application of
undifferentiated targeting, niche market and differentiated marketing strategies by
international schools was minimal. The study found that benefit positioning and product
positioning by providing exceptional quality of services were the most used positioning
strategies by international schools in Nairobi. Additionally, the study found that market
segmentation helps international schools to adjust to specific needs in the market, allows
international schools to serve their clients according to their needs and targeting can
allow international schools to understand the market structure and how to serve it. The
study further established that market positioning strategies can help international schools
to build their image and can help them to create proper appeals in the minds of the target
market. The study concluded that market segmentation strategies, targeting strategies and
positioning strategies are vital to international schools and they help international schools
to brand and position themselves in a better position. The study recommends that the
management of international schools in Nairobi should ensure they incorporate market
segmentation strategies, targeting and positioning strategies since they are vital for
international schools in Nairobi.
1
1
CHAPTER ONE: INTRODUCTION
1.1 Background of the Study
Segmentation, targeting and positioning are tools of marketing used in gaining
competitive advantage by a firm in the market. STP can be viewed as main disciplines in
strategy of marketing; faults in these areas result in failure and tend to be costly; doing it
right leads to success (Schlegelmilch, 2016).Many companies face the decision on how to
effectively handle the state of markets becoming interdependent and competitive while
consumers become choosier (Lhotáková & Klosová, 2009).Thus, segmentation, targeting
and positioning (STP) is a critical basis for each marketing strategy of product. A firm is
able to formulate an effective tactical marketing strategy (marketing mix) with a factual
STP.
The STP approach proposes that the mass market comprises of certain number of groups
that are relatively homogenous, each with different desires and needs. Marketers of STP
try to pinpoint those segments in the market, direct activities of marketing at the
segments, which the marketers are certain that their business can gratify better than their
opponents can, and site can well their merchandise offering in order to appeal to the
segments targeted (Lynn, 2011). Unlike the generic marketing strategies, which revolve
around the product, the STP model is more about the consumers. The model comes to use
when forming marketing communication strategies because it aids marketers in
prioritizing propositions, developing and delivering relevant and personalized messages
to involve with diverse audiences. It aims at commercial efficiency/effectiveness,
1
CHAPTER ONE: INTRODUCTION
1.1 Background of the Study
Segmentation, targeting and positioning are tools of marketing used in gaining
competitive advantage by a firm in the market. STP can be viewed as main disciplines in
strategy of marketing; faults in these areas result in failure and tend to be costly; doing it
right leads to success (Schlegelmilch, 2016).Many companies face the decision on how to
effectively handle the state of markets becoming interdependent and competitive while
consumers become choosier (Lhotáková & Klosová, 2009).Thus, segmentation, targeting
and positioning (STP) is a critical basis for each marketing strategy of product. A firm is
able to formulate an effective tactical marketing strategy (marketing mix) with a factual
STP.
The STP approach proposes that the mass market comprises of certain number of groups
that are relatively homogenous, each with different desires and needs. Marketers of STP
try to pinpoint those segments in the market, direct activities of marketing at the
segments, which the marketers are certain that their business can gratify better than their
opponents can, and site can well their merchandise offering in order to appeal to the
segments targeted (Lynn, 2011). Unlike the generic marketing strategies, which revolve
around the product, the STP model is more about the consumers. The model comes to use
when forming marketing communication strategies because it aids marketers in
prioritizing propositions, developing and delivering relevant and personalized messages
to involve with diverse audiences. It aims at commercial efficiency/effectiveness,
2
2
choosing the most appropriate market segments for a company thereby emerging a
product positioning strategy and a marketing mix for every section (Abeck, 2017)
In Kenya, the education industry is one of the sectors that have experienced phenomenal
growth in the recent past (Kilavuka, 2007).The international schools sector in Kenya
continues to grow inexorably. As globalism continues to gather pace, so has the demand
for international education. This sector is benefiting from a more interconnected world
and the increased migration of people that this has produced. In addition, there is a
growing middle class in developing countries who also wish for their children to have the
benefit of a world-class education (Barnes, 2016). The society is also continually
demanding for higher quality education and value for their money. Society has always
had high expectations of teachers, and more so today. This has been necessitated by the
following trends in society that is; move towards the nuclear family, the increasing
involvement of women in the work force, the expansion of universal literacy programmes
and the deluge of information in this information age (Ochieng, 2006).
1.1.1 Market Segmentation
Market segmentation is the procedure of distributing a potential market into separate
consumer subsets with joint characteristics or needs and selecting one or more section to
aim with a unique marketing mix (Moyo, 2005). It includes the subdivision of the all-
inclusive market for a service or product into minor market segments or groups, entailing
customers who are somewhat alike within a precise segment and extremely different from
customers constituting other sections (Moschis, Lee &Mathur, 1997). Segmentation
2
choosing the most appropriate market segments for a company thereby emerging a
product positioning strategy and a marketing mix for every section (Abeck, 2017)
In Kenya, the education industry is one of the sectors that have experienced phenomenal
growth in the recent past (Kilavuka, 2007).The international schools sector in Kenya
continues to grow inexorably. As globalism continues to gather pace, so has the demand
for international education. This sector is benefiting from a more interconnected world
and the increased migration of people that this has produced. In addition, there is a
growing middle class in developing countries who also wish for their children to have the
benefit of a world-class education (Barnes, 2016). The society is also continually
demanding for higher quality education and value for their money. Society has always
had high expectations of teachers, and more so today. This has been necessitated by the
following trends in society that is; move towards the nuclear family, the increasing
involvement of women in the work force, the expansion of universal literacy programmes
and the deluge of information in this information age (Ochieng, 2006).
1.1.1 Market Segmentation
Market segmentation is the procedure of distributing a potential market into separate
consumer subsets with joint characteristics or needs and selecting one or more section to
aim with a unique marketing mix (Moyo, 2005). It includes the subdivision of the all-
inclusive market for a service or product into minor market segments or groups, entailing
customers who are somewhat alike within a precise segment and extremely different from
customers constituting other sections (Moschis, Lee &Mathur, 1997). Segmentation
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3
3
encompasses larger market being subdivided into different customer subsets with same
wants and needs or/and receptiveness to marketing offerings (Brooksbank, 1994).
Market segmentation can be carried out using various societal factors, like; lifestyle,
demographics, beliefs, values, and psychographics, geography, life stages, benefit, and
behavior (Abeck, 2017). A company can distinguish its customers in terms of geographic
variables (such as nation, state, region, demographic variables (such as education, gender,
income, and age), and neighborhood type), psychographic variables (such as interests,
values, attitudes, and opinions), and behaviors (such as purchase frequency, brand
loyalty, channel usage, and media habits) (Lynn, 2011).By aligning customers together
based on resemblance of their reactions towards greater marketing efficiency, marketing
factors, and customer fulfillment can be attained(Moschis, Lee &Mathur, 1997).
Market segmentation is an adaptive strategy. It constitutes of the market partition with the
aim of choosing one or more segments in the market, of which the firm can target
through development of precise marketing mixes which adjust to specific needs in the
market (Restrepo, 2003). Effective segmentation allows the marketers to provide a
difference between segments according to their response to market variables. For
instance, the marketers can define the differences between price sensitive consumers and
non-price sensitive consumers as a result of segmentation (Abeck, 2017). Through
segmentation, one can identify the areas having specific needs and also identify mature
markets to find new customers. Firms with high growth rates become successful by
recognizing and meeting up the desires of precise customers, not all consumers, for
special varieties of services and products, not all services or products (Olbara, 2011).
3
encompasses larger market being subdivided into different customer subsets with same
wants and needs or/and receptiveness to marketing offerings (Brooksbank, 1994).
Market segmentation can be carried out using various societal factors, like; lifestyle,
demographics, beliefs, values, and psychographics, geography, life stages, benefit, and
behavior (Abeck, 2017). A company can distinguish its customers in terms of geographic
variables (such as nation, state, region, demographic variables (such as education, gender,
income, and age), and neighborhood type), psychographic variables (such as interests,
values, attitudes, and opinions), and behaviors (such as purchase frequency, brand
loyalty, channel usage, and media habits) (Lynn, 2011).By aligning customers together
based on resemblance of their reactions towards greater marketing efficiency, marketing
factors, and customer fulfillment can be attained(Moschis, Lee &Mathur, 1997).
Market segmentation is an adaptive strategy. It constitutes of the market partition with the
aim of choosing one or more segments in the market, of which the firm can target
through development of precise marketing mixes which adjust to specific needs in the
market (Restrepo, 2003). Effective segmentation allows the marketers to provide a
difference between segments according to their response to market variables. For
instance, the marketers can define the differences between price sensitive consumers and
non-price sensitive consumers as a result of segmentation (Abeck, 2017). Through
segmentation, one can identify the areas having specific needs and also identify mature
markets to find new customers. Firms with high growth rates become successful by
recognizing and meeting up the desires of precise customers, not all consumers, for
special varieties of services and products, not all services or products (Olbara, 2011).
4
4
1.1.2 Targeting
Targeting implies the method of assessing every segment’s desirability and choosing any
of them to enter (Walletzký, 2015). Targeting is the authentic segment selection. In this
process, the organization must balance its capabilities and resources against the
desirability of diverse segments (Hajar, Mahrani & Sinarwati, 2014). Targeting is
involved with a tactical concentration on one or some identified segments in the market,
and establishing marketing offers that are responsive and unique to each segment of
concern. Selection of target market includes assessing every market segment's desirability
and choosing any of the market segments to enter. After identifying the valid segments
and evaluating the consumer target’s profile in these segments, it requires to be assessed,
whether the segment is attractive for the specific brand and product (Lhotáková &
Klosová, 2009).
The decision of target market is the consumer choice in a product-market whereby an
organization will focus on its marketing program strategy of positioning. This choice is
among the most demanding challenge in the organization’s management (Moutinho,
2000). The target market comprises of the customer sets that possess the needs and
characteristics that the firm can best support. The two stages to market targeting are
emerging a segment attractiveness measurement and selecting the target segments.
Targeting enables organizations to focus more on the precise wants of the segment
targeted with regard to prestige, price, habits and desire. Once the firm understands the
consumer demand structure it decides which segments to serve and how (Hajar, Mahrani
& Sinarwati, 2014).
4
1.1.2 Targeting
Targeting implies the method of assessing every segment’s desirability and choosing any
of them to enter (Walletzký, 2015). Targeting is the authentic segment selection. In this
process, the organization must balance its capabilities and resources against the
desirability of diverse segments (Hajar, Mahrani & Sinarwati, 2014). Targeting is
involved with a tactical concentration on one or some identified segments in the market,
and establishing marketing offers that are responsive and unique to each segment of
concern. Selection of target market includes assessing every market segment's desirability
and choosing any of the market segments to enter. After identifying the valid segments
and evaluating the consumer target’s profile in these segments, it requires to be assessed,
whether the segment is attractive for the specific brand and product (Lhotáková &
Klosová, 2009).
The decision of target market is the consumer choice in a product-market whereby an
organization will focus on its marketing program strategy of positioning. This choice is
among the most demanding challenge in the organization’s management (Moutinho,
2000). The target market comprises of the customer sets that possess the needs and
characteristics that the firm can best support. The two stages to market targeting are
emerging a segment attractiveness measurement and selecting the target segments.
Targeting enables organizations to focus more on the precise wants of the segment
targeted with regard to prestige, price, habits and desire. Once the firm understands the
consumer demand structure it decides which segments to serve and how (Hajar, Mahrani
& Sinarwati, 2014).
5
5
Target marketing implies that a customer group has been recognized to whom the firm
will direct the majority of its marketing time, resources, and attention, with the rationale
that it is better to use a rifle than a shotgun to get results and for whom the offering
should be right(Olbara, 2011). The market should be reachable, measurable and
sufficiently large. When the target market is well-defined, based on the product appeals
knowledge and analysis of market, and is measurable, it should define whether the
audience of target is big enough to weather the organization on a continuing basis.
Furthermore, an organization’s target market should be accessible (Moyo, 2005).A
company should evaluate the overall market attractiveness and its suitability to the
objectives and resources of the company in enticing the target market (Hajar, Mahrani &
Sinarwati, 2014).
1.1.3 Positioning
Positioning refers to designing the image of a company and placing it to exist in a distinct
place in the mind of the market in target (Kalafatis, Tsogas & Blankson, 2000).
According to Walletzký (2015), positioning is placing a product to occupy a distinctive,
clear and desired place relative to its rival products in the consumers mind. This
positioning strategy is a concept through which businesses preoccupied with the
influence of their external environment on their capability strategy (competences and
resources), and influence and stakeholder expectations (Ayele, 2012). Marketers describe
the positioning of a brand in a statement of positioning strategy. The statement embraces
the vital benefits offered to customers and the intended brand or image personality the
brand anticipates to instill in the mind of the customer (Dibb & Simkin, 2006).
5
Target marketing implies that a customer group has been recognized to whom the firm
will direct the majority of its marketing time, resources, and attention, with the rationale
that it is better to use a rifle than a shotgun to get results and for whom the offering
should be right(Olbara, 2011). The market should be reachable, measurable and
sufficiently large. When the target market is well-defined, based on the product appeals
knowledge and analysis of market, and is measurable, it should define whether the
audience of target is big enough to weather the organization on a continuing basis.
Furthermore, an organization’s target market should be accessible (Moyo, 2005).A
company should evaluate the overall market attractiveness and its suitability to the
objectives and resources of the company in enticing the target market (Hajar, Mahrani &
Sinarwati, 2014).
1.1.3 Positioning
Positioning refers to designing the image of a company and placing it to exist in a distinct
place in the mind of the market in target (Kalafatis, Tsogas & Blankson, 2000).
According to Walletzký (2015), positioning is placing a product to occupy a distinctive,
clear and desired place relative to its rival products in the consumers mind. This
positioning strategy is a concept through which businesses preoccupied with the
influence of their external environment on their capability strategy (competences and
resources), and influence and stakeholder expectations (Ayele, 2012). Marketers describe
the positioning of a brand in a statement of positioning strategy. The statement embraces
the vital benefits offered to customers and the intended brand or image personality the
brand anticipates to instill in the mind of the customer (Dibb & Simkin, 2006).
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6
Positioning is a modest tool of marketing that concentrates on image building. It is an
effort to differentiate a firm from its opponents/competitors, so as to be the better favorite
for a specific market segment (Mokaya, M’Nchebere & Kanyagia, 2017). The positioning
strategy involves marketing and designing a product to fulfill the requirements of a target
market, and creating the proper appeals to outstand the product from the antagonism in
the minds of the target market (Dibb&Simkin, 2006). The notion of positioning
constitutes both customer and competitive considerations. It basically deals with
distinction and is seen as an undertaking that is creative whereby a current brand in a
congested marketplace of same brands can get a position in the minds of the targeted
prospects that is distinct from the opponents (Ng’oo, 2012)
The core of positioning is an appropriate consumer analysis, the competitors, the brand
itself and the benefit (Lhotáková & Klosová, 2009).It is a vital concept whereby
organizations can trigger competitive advantage by good image creation for their product
in the customer minds (Ayele, 2012). An organization should evaluate the influence of its
positioning strategies on other segments. If an adverse reaction from other segments
arises, whether they are older or younger customers, perhaps the marketer should detect
those aspects (if any) that are probable to appeal to many segments and service and
position products based on these aspects (Moschis, Lee &Mathur, 1997). A business that
positions itself favorably within a precise marketplace, relative to challengers, has high
chances of garnering high profits regardless of average profit gaining within the
marketplace (Mokaya, M’Nchebere & Kanyagia, 2017).
6
Positioning is a modest tool of marketing that concentrates on image building. It is an
effort to differentiate a firm from its opponents/competitors, so as to be the better favorite
for a specific market segment (Mokaya, M’Nchebere & Kanyagia, 2017). The positioning
strategy involves marketing and designing a product to fulfill the requirements of a target
market, and creating the proper appeals to outstand the product from the antagonism in
the minds of the target market (Dibb&Simkin, 2006). The notion of positioning
constitutes both customer and competitive considerations. It basically deals with
distinction and is seen as an undertaking that is creative whereby a current brand in a
congested marketplace of same brands can get a position in the minds of the targeted
prospects that is distinct from the opponents (Ng’oo, 2012)
The core of positioning is an appropriate consumer analysis, the competitors, the brand
itself and the benefit (Lhotáková & Klosová, 2009).It is a vital concept whereby
organizations can trigger competitive advantage by good image creation for their product
in the customer minds (Ayele, 2012). An organization should evaluate the influence of its
positioning strategies on other segments. If an adverse reaction from other segments
arises, whether they are older or younger customers, perhaps the marketer should detect
those aspects (if any) that are probable to appeal to many segments and service and
position products based on these aspects (Moschis, Lee &Mathur, 1997). A business that
positions itself favorably within a precise marketplace, relative to challengers, has high
chances of garnering high profits regardless of average profit gaining within the
marketplace (Mokaya, M’Nchebere & Kanyagia, 2017).
7
7
1.1.4 International Schools in Nairobi
The International schools in Kenya are private, coeducational day schools, which offer an
education program for students of all nationalities. Their curriculum draws from rigorous
standards and benchmarks from around the world, with the objective of providing a
challenging program that allows students to transition to the best schools internationally,
as well as top universities (Ajwala, 2014). International school’s offer curriculum based
on a foreign national curriculum, a wide range of extra-curriculum activities, expatriate
staff, foreign students and the fees charged, high investments in sophisticated resources
and equipment to support the core and extra curriculum activities and school fees which
ranges from two to three times higher than those of local curriculum based schools
(Ochieng, 2006). Nairobi County has the highest registration of international schools
(Kilavuka, 2007).
International schools provide an alternative solution to expatriate students in Kenya and
they offer same schooling standards globally, providing for a simple change between
schools whether located in USA or France (Ajwala, 2014). Most international schools in
Nairobi offer differentiated service characterized by high teaching practices that are
differentiated, teacher to pupil ratios and small class sizes, all work to make sure that
every child is carefully observed and able to reach their full potential (Barnes, 2016). The
sector has witnessed a very high growth rate as more and more international schools are
being opened. The growth in this sector can be attributed to the need to meet the
educational needs of these groups of people: children who experience difficulty with the
local 8-4-4 system of education due to subject with immigrants from neighboring
7
1.1.4 International Schools in Nairobi
The International schools in Kenya are private, coeducational day schools, which offer an
education program for students of all nationalities. Their curriculum draws from rigorous
standards and benchmarks from around the world, with the objective of providing a
challenging program that allows students to transition to the best schools internationally,
as well as top universities (Ajwala, 2014). International school’s offer curriculum based
on a foreign national curriculum, a wide range of extra-curriculum activities, expatriate
staff, foreign students and the fees charged, high investments in sophisticated resources
and equipment to support the core and extra curriculum activities and school fees which
ranges from two to three times higher than those of local curriculum based schools
(Ochieng, 2006). Nairobi County has the highest registration of international schools
(Kilavuka, 2007).
International schools provide an alternative solution to expatriate students in Kenya and
they offer same schooling standards globally, providing for a simple change between
schools whether located in USA or France (Ajwala, 2014). Most international schools in
Nairobi offer differentiated service characterized by high teaching practices that are
differentiated, teacher to pupil ratios and small class sizes, all work to make sure that
every child is carefully observed and able to reach their full potential (Barnes, 2016). The
sector has witnessed a very high growth rate as more and more international schools are
being opened. The growth in this sector can be attributed to the need to meet the
educational needs of these groups of people: children who experience difficulty with the
local 8-4-4 system of education due to subject with immigrants from neighboring
8
8
countries, growing numbers of top income group earners, international and business
organizations with branches in the country (Ochieng, 2006).
1.2 Research Problem
The sustainability and success of any business in an environment that is competitive is
decided by its marketing strategy choice. As such, the current marketing strategy
development comprises such ideas as STP (Yabs, 2014). Behind any marketing strategy
that is successful, there is a cautious segmentation, targeting and positioning action.
Actually, the particular potential customers’ identification enables optimization of cost
and increase in profits and sales. Nonetheless, opponents imitate many marketing
strategies and therefore an organization must identify proper market segments, target the
profitable ones and location itself in the consumer’s minds so as to sustain competition
(Chelimo, 2012). In general, customers are prepared to pay a premium for a requirement-
satisfying product more precisely than does a product in competition.
In Kenya, the private education sector has experienced significant growth in the recent
past; this growth has been driven by quest for quality education. This has led to many
players in this industry trying to meet the high demand for quality education. Competition
is therefore very stiff since the clients have many choices (Ochieng, 2006). Players in the
education sector are faced with stiff competition due to the fact that their clients have a
choice. Because of the many choices available to parents, investors have been forced
create a competitive advantage whether it is a matter of quality or price in order for them
to survive in this industry (Kilavuka, 2007). International schools in Kenya are also faced
with growing competitions, political changes, changing technology, rising customer
8
countries, growing numbers of top income group earners, international and business
organizations with branches in the country (Ochieng, 2006).
1.2 Research Problem
The sustainability and success of any business in an environment that is competitive is
decided by its marketing strategy choice. As such, the current marketing strategy
development comprises such ideas as STP (Yabs, 2014). Behind any marketing strategy
that is successful, there is a cautious segmentation, targeting and positioning action.
Actually, the particular potential customers’ identification enables optimization of cost
and increase in profits and sales. Nonetheless, opponents imitate many marketing
strategies and therefore an organization must identify proper market segments, target the
profitable ones and location itself in the consumer’s minds so as to sustain competition
(Chelimo, 2012). In general, customers are prepared to pay a premium for a requirement-
satisfying product more precisely than does a product in competition.
In Kenya, the private education sector has experienced significant growth in the recent
past; this growth has been driven by quest for quality education. This has led to many
players in this industry trying to meet the high demand for quality education. Competition
is therefore very stiff since the clients have many choices (Ochieng, 2006). Players in the
education sector are faced with stiff competition due to the fact that their clients have a
choice. Because of the many choices available to parents, investors have been forced
create a competitive advantage whether it is a matter of quality or price in order for them
to survive in this industry (Kilavuka, 2007). International schools in Kenya are also faced
with growing competitions, political changes, changing technology, rising customer
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9
9
expectations, changes in the workforce, low academic standards, employee relations,
managing change and organizational capacity (Ochieng, 2006).
Empirically, multiple studies have been undertaken on the market STP concepts. For
instance, Hsiao and Chen (2009) studied the application of market segmentation to
student conduct in choosing a department or school and recognized that reputation and
students considered function and convenience, quality, meaning and emotion, and
structure and scale as vital factors. Kalafatis, Tsogas and Blankson(2000) carried out a
study on positioning strategies in business markets and found that even though business
positioning is largely influenced by firm criteria such as product quality and factors of
relationship building; other concerns like structure of company, offerings’breadth and
integration degree also impact on positioning. The studies by Chen and Hsiao (2009) and
Kalafatis, Tsogas & Blankson (2000) however focused on specific concept of market
segmentation and positioning.
A paper by Kilavuka (2007) in Kenya studied the competitive strategies adopted by
private primary schools and found that differentiation strategies are the most widely
applied in the education industry while cost leadership and focus were the least used but
the study focused on competitive strategies. Mauti (2010) studied the impact of
competitive strategies on the international school’s performance and found a statistically
significant association between differentiation, focus and cost leadership strategies and
performance but the focus of the study was competitive strategies. Most of the available
studies focus on the specific concepts of market segmentation, targeting and positioning
and in different sectors. Moreover, most studies in Kenya focus on international schools
offering the British National Curriculum despite the fact that there are types of
9
expectations, changes in the workforce, low academic standards, employee relations,
managing change and organizational capacity (Ochieng, 2006).
Empirically, multiple studies have been undertaken on the market STP concepts. For
instance, Hsiao and Chen (2009) studied the application of market segmentation to
student conduct in choosing a department or school and recognized that reputation and
students considered function and convenience, quality, meaning and emotion, and
structure and scale as vital factors. Kalafatis, Tsogas and Blankson(2000) carried out a
study on positioning strategies in business markets and found that even though business
positioning is largely influenced by firm criteria such as product quality and factors of
relationship building; other concerns like structure of company, offerings’breadth and
integration degree also impact on positioning. The studies by Chen and Hsiao (2009) and
Kalafatis, Tsogas & Blankson (2000) however focused on specific concept of market
segmentation and positioning.
A paper by Kilavuka (2007) in Kenya studied the competitive strategies adopted by
private primary schools and found that differentiation strategies are the most widely
applied in the education industry while cost leadership and focus were the least used but
the study focused on competitive strategies. Mauti (2010) studied the impact of
competitive strategies on the international school’s performance and found a statistically
significant association between differentiation, focus and cost leadership strategies and
performance but the focus of the study was competitive strategies. Most of the available
studies focus on the specific concepts of market segmentation, targeting and positioning
and in different sectors. Moreover, most studies in Kenya focus on international schools
offering the British National Curriculum despite the fact that there are types of
10
10
international schools. This in itself constitutes an empirical literature gap in the education
industry hence the question; what is the effect of market STP strategies on international
schools in Nairobi?
1.3 Research Objectives
The aims of this research are:
i. To identify the segmentation, targeting and positioning strategies applied by
international schools in Nairobi
ii. To determine the extent in which segmentation, targeting and positioning
strategies are applied by international schools in Nairobi
iii. To establish the effect of segmentation, targeting and positioning strategies on
international schools in Nairobi
1.4 Value of the study
The study objective is to develop the effect of market segmentation, targeting and
positioning strategies on international schools in Nairobi. The findings of the study will
be of significance to administrators of international schools, as they will use its findings
and recommendations to enhance their marketing strategies. The findings will also
provide managers and board of directors with information on the general state of
competition in the education industry and type of strategies employed by various
international schools.
The study will also provide information to potential investors on the challenges faced by
current investors and therefore help them know what kind of strategy to adopt in order to
10
international schools. This in itself constitutes an empirical literature gap in the education
industry hence the question; what is the effect of market STP strategies on international
schools in Nairobi?
1.3 Research Objectives
The aims of this research are:
i. To identify the segmentation, targeting and positioning strategies applied by
international schools in Nairobi
ii. To determine the extent in which segmentation, targeting and positioning
strategies are applied by international schools in Nairobi
iii. To establish the effect of segmentation, targeting and positioning strategies on
international schools in Nairobi
1.4 Value of the study
The study objective is to develop the effect of market segmentation, targeting and
positioning strategies on international schools in Nairobi. The findings of the study will
be of significance to administrators of international schools, as they will use its findings
and recommendations to enhance their marketing strategies. The findings will also
provide managers and board of directors with information on the general state of
competition in the education industry and type of strategies employed by various
international schools.
The study will also provide information to potential investors on the challenges faced by
current investors and therefore help them know what kind of strategy to adopt in order to
11
11
develop a strong market position. Finally, the study will increase the body of knowledge
and stimulate need for further research in the education industry in Kenya.
11
develop a strong market position. Finally, the study will increase the body of knowledge
and stimulate need for further research in the education industry in Kenya.
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12
CHAPTER TWO: LITERATURE REVIEW
2.1 Introduction
This section presents the theoretical foundation, an analysis of the various market
segmentation strategies, the marketing targeting and positioning strategies and finally a
review of various studies under empirical review.
2.2 Theoretical Foundation
The market segmentation theory will be adopted as the theoretical foundation for this
study. The market segmentation theory emanated from Wendell (1956). The theory
asserts that market segmentation uses demand in the market as its foundation for
development and decide reasonable and realistic regulations to products along with
marketing actions to satisfy wants of different customers. The market segmentation
concept was established in economic theory to display how an organization selling
similar products in the marketplace is characterized by heterogeneous demand that
exploit profits. The theory indicates that finest profits can be attained if the business uses
marginal response to price of consumers i.e. price elasticity to describe commonly
exclusive segments and fix prices so that marginal profits accrued in every segment are
equal (Jones, 2005). Market segmentation is viewed as a disparity on the model of setting
prices by monopolists and is frequently conversed under the price discrimination topic
(Hunt & Arnett, 2004).
The segmentation theory presupposes that markets are not homogenous however some
areas in fact are, implying segmentation shoulders homogeneity at segment level but it
doesn’t at the market level. Segmentation also adopts segments that lack competition but
12
CHAPTER TWO: LITERATURE REVIEW
2.1 Introduction
This section presents the theoretical foundation, an analysis of the various market
segmentation strategies, the marketing targeting and positioning strategies and finally a
review of various studies under empirical review.
2.2 Theoretical Foundation
The market segmentation theory will be adopted as the theoretical foundation for this
study. The market segmentation theory emanated from Wendell (1956). The theory
asserts that market segmentation uses demand in the market as its foundation for
development and decide reasonable and realistic regulations to products along with
marketing actions to satisfy wants of different customers. The market segmentation
concept was established in economic theory to display how an organization selling
similar products in the marketplace is characterized by heterogeneous demand that
exploit profits. The theory indicates that finest profits can be attained if the business uses
marginal response to price of consumers i.e. price elasticity to describe commonly
exclusive segments and fix prices so that marginal profits accrued in every segment are
equal (Jones, 2005). Market segmentation is viewed as a disparity on the model of setting
prices by monopolists and is frequently conversed under the price discrimination topic
(Hunt & Arnett, 2004).
The segmentation theory presupposes that markets are not homogenous however some
areas in fact are, implying segmentation shoulders homogeneity at segment level but it
doesn’t at the market level. Segmentation also adopts segments that lack competition but
13
13
competition does not have to be accredited if they have been selected on assumption that
competitors lack a position that is strong in such segments (Pesonen, 2013). The theory
also presupposes segmentation of markets combine markets that are similar into one.
Those with same features have similar responses to specific market mixes thus enables
firms to device effective strategies of marketing (Chen & Hsiao, 2009).
The market segmentation theory provides the ability to gain a full market understanding,
improved prediction techniques of consumer behavior, and an improved ability to detect
and exploit new market opportunities for commercial benefit (Fuller, Hanlanv & Wilde,
2005). According to the theory, ability to split markets into distinctive sets of buyers, or
prospective buyers, who react in a different manner to variables of a mix in marketing, is
highly probable to demonstrate mostly advantageous to those wanting to affect the
demand of a consumer for a precise service or product (Hunt & Arnett, 2004).The theory
also supports that the goal of market segmentation is to infer the alterations between
consumers with same features and making the differences advantageous (Chen & Hsiao,
2009).
2.3 Market Segmentation Strategies
The process of observing a market characterized by demand that is divergent, that is,
heterogeneous market, as containing a smaller number and more parts that are
homogeneous, termed segments (Papastathopoulou, 2006). Market segmentation is
applied using factors such as demographic, geographic and behavioral. In geographic
segmentation, likely organizations or customers are segmented in a national, regional,
state, or local marketplace. Below demographic segmentation, customers who are
13
competition does not have to be accredited if they have been selected on assumption that
competitors lack a position that is strong in such segments (Pesonen, 2013). The theory
also presupposes segmentation of markets combine markets that are similar into one.
Those with same features have similar responses to specific market mixes thus enables
firms to device effective strategies of marketing (Chen & Hsiao, 2009).
The market segmentation theory provides the ability to gain a full market understanding,
improved prediction techniques of consumer behavior, and an improved ability to detect
and exploit new market opportunities for commercial benefit (Fuller, Hanlanv & Wilde,
2005). According to the theory, ability to split markets into distinctive sets of buyers, or
prospective buyers, who react in a different manner to variables of a mix in marketing, is
highly probable to demonstrate mostly advantageous to those wanting to affect the
demand of a consumer for a precise service or product (Hunt & Arnett, 2004).The theory
also supports that the goal of market segmentation is to infer the alterations between
consumers with same features and making the differences advantageous (Chen & Hsiao,
2009).
2.3 Market Segmentation Strategies
The process of observing a market characterized by demand that is divergent, that is,
heterogeneous market, as containing a smaller number and more parts that are
homogeneous, termed segments (Papastathopoulou, 2006). Market segmentation is
applied using factors such as demographic, geographic and behavioral. In geographic
segmentation, likely organizations or customers are segmented in a national, regional,
state, or local marketplace. Below demographic segmentation, customers who are
14
14
potential are recognized by measures such as race, gender, income level, age, religion,
occupation, family size, marital status and education level. In psychographic
segmentation, many firms provide products that are belief based, emotions, and attitudes
of the market targeted. The want for greater appearance, status and extra cash are cases of
psychographic variables (Moyo, 2005).Commonly, there are two methods of market
segmentation; multi-segment and concentration strategies.
Concentration strategies get up in cases where one segment is targeted with a solo
marketing mix, which constitutes of strategy aimed at pricing, programs that are
promotional and targeted at every person, product type with slight or no disparities, and
system of distribution directed at whole segment (Moyo, 2005). In concentrated
marketing, a marketer chooses one segment, establishes a proper marketing mix, and
guides its efforts in marketing and resources towards that market segment entirely
(Moutinho, 2000).Concentration strategy concentrates on one segment in the market with
one brand or product and with a totally dynamic marketing mix (Lhotáková&Klosová,
2009).Through this strategy, the business acquires resilient knowledge of the segment’s
requirements and realizes solid market presence. Moreover, the business enjoys
effective/operating economies by specializing in its distribution, promotion and
production. The concentration strategy is in particularly operative for small firms with
narrow resources, since it does not have faith in the use of mass advertising, mass
production and mass distribution (Moyo, 2005).
Multi-segment strategies arise when multiple segments are pursued with a marketing mix
for every segment and different marketing plans for each one of the segment (Moyo,
2005). In this marketing strategy, a business decides to deliver distinct offerings to every
14
potential are recognized by measures such as race, gender, income level, age, religion,
occupation, family size, marital status and education level. In psychographic
segmentation, many firms provide products that are belief based, emotions, and attitudes
of the market targeted. The want for greater appearance, status and extra cash are cases of
psychographic variables (Moyo, 2005).Commonly, there are two methods of market
segmentation; multi-segment and concentration strategies.
Concentration strategies get up in cases where one segment is targeted with a solo
marketing mix, which constitutes of strategy aimed at pricing, programs that are
promotional and targeted at every person, product type with slight or no disparities, and
system of distribution directed at whole segment (Moyo, 2005). In concentrated
marketing, a marketer chooses one segment, establishes a proper marketing mix, and
guides its efforts in marketing and resources towards that market segment entirely
(Moutinho, 2000).Concentration strategy concentrates on one segment in the market with
one brand or product and with a totally dynamic marketing mix (Lhotáková&Klosová,
2009).Through this strategy, the business acquires resilient knowledge of the segment’s
requirements and realizes solid market presence. Moreover, the business enjoys
effective/operating economies by specializing in its distribution, promotion and
production. The concentration strategy is in particularly operative for small firms with
narrow resources, since it does not have faith in the use of mass advertising, mass
production and mass distribution (Moyo, 2005).
Multi-segment strategies arise when multiple segments are pursued with a marketing mix
for every segment and different marketing plans for each one of the segment (Moyo,
2005). In this marketing strategy, a business decides to deliver distinct offerings to every
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15
15
distinct market segment of target. The multi-segment marketing attempts to appeal to
several market segments. Every segment is aimed at distinctively as the business offers
exceptional benefits to dissimilar segments (Lhotáková & Klosová, 2009).Under this
segment multiple distinctive potential customer groups are recognized as target market.
The business thus acquires a robust status in serving this group of customers and turn out
to be a network for additional customer group products that could get in use (Moutinho,
2000).The multi segment strategy enables the organization to cater for several needs of
different segments by the company. Nonetheless, it’s costly (Moyo, 2005).
2.4 Targeting Strategies
Targeting involves assessing every segment and picking either one or more of the
segments to enter (Abeck, 2017). The likelihoods for determining the company’s target
group of customers in a product market range from trying to appeal to many people in the
marketplace (a mass-market approach) to follow one or more niches within the market
(Moutinho, 2000).Mass customization is the capacity to react speedily and profitably to
the altering needs and desires of specific customers. It’s a rounded approach to bringing
services and goods to market with the customer as the key aspect of the organization
(Lhotáková & Klosová, 2009).Niche marketing involves pinpointing a line of product to
one specific sub-segment and obliging to all resources in marketing to the that sub-
segment’s satisfaction(Dibb & Simkin, 1996). There are three major targeting strategies:
differentiated, undifferentiated and concentrated (Hajar, Mahrani & Sinarwati, 2014).
Differentiated marketing is a scheme employed in marketing whereby many market
segments are targeted by a company through the use of special offers suited to each
15
distinct market segment of target. The multi-segment marketing attempts to appeal to
several market segments. Every segment is aimed at distinctively as the business offers
exceptional benefits to dissimilar segments (Lhotáková & Klosová, 2009).Under this
segment multiple distinctive potential customer groups are recognized as target market.
The business thus acquires a robust status in serving this group of customers and turn out
to be a network for additional customer group products that could get in use (Moutinho,
2000).The multi segment strategy enables the organization to cater for several needs of
different segments by the company. Nonetheless, it’s costly (Moyo, 2005).
2.4 Targeting Strategies
Targeting involves assessing every segment and picking either one or more of the
segments to enter (Abeck, 2017). The likelihoods for determining the company’s target
group of customers in a product market range from trying to appeal to many people in the
marketplace (a mass-market approach) to follow one or more niches within the market
(Moutinho, 2000).Mass customization is the capacity to react speedily and profitably to
the altering needs and desires of specific customers. It’s a rounded approach to bringing
services and goods to market with the customer as the key aspect of the organization
(Lhotáková & Klosová, 2009).Niche marketing involves pinpointing a line of product to
one specific sub-segment and obliging to all resources in marketing to the that sub-
segment’s satisfaction(Dibb & Simkin, 1996). There are three major targeting strategies:
differentiated, undifferentiated and concentrated (Hajar, Mahrani & Sinarwati, 2014).
Differentiated marketing is a scheme employed in marketing whereby many market
segments are targeted by a company through the use of special offers suited to each
16
16
sector. Thus, higher sales are experienced by the company and therefore each market
segment gets a better position (Larsen, 2010). The strategy of targeting differentiated
companies occurs in cases where companies decide to attend to two or better defined
segments in the market and acquires for each market a dissimilar marketing mix. They do
not use completely different marketing mix they however use different promotional
appeals as the basis for a differentiated targeting strategy (Moyo, 2005). The
differentiated strategy is applied in cases where a firm has chosen target market segments
that are more than one and has prepared for each a market mix (Moutinho, 2000). In a
strategy that has differentiated same brands are given in two segments or more but with a
different market strategy in each (Lhotáková & Klosová, 2009).
In the undifferentiated targeting strategy, a firm embraces the philosophy of mass market,
observing the market as one large market without individual segments. Undifferentiated
marketing implies creating one offering to the entire market; the offering is focused in the
direction of what many individuals need and the majority’s common. This strategy
asserts that discrete customers have same requirements that are met with a mutual
marketing mix (Moyo, 2005).The strategy is an approach of mass marketing that
disregards variances among the segments. The entire market is reflected to be
undistinguished and the brand or product is aimed to anyone (Lhotáková & Klosová,
2009).A firm does not deliberate the variances between every segment and considers
targeting the market with a single offer. Thus, the organization concentrates on the
comparable wants of the customers instead of the variances (Larsen, 2010).
A niche market (one market segment) is picked to target efforts in market under the
concentrated targeting strategy. Appealing to one segment grants the opportunity of
16
sector. Thus, higher sales are experienced by the company and therefore each market
segment gets a better position (Larsen, 2010). The strategy of targeting differentiated
companies occurs in cases where companies decide to attend to two or better defined
segments in the market and acquires for each market a dissimilar marketing mix. They do
not use completely different marketing mix they however use different promotional
appeals as the basis for a differentiated targeting strategy (Moyo, 2005). The
differentiated strategy is applied in cases where a firm has chosen target market segments
that are more than one and has prepared for each a market mix (Moutinho, 2000). In a
strategy that has differentiated same brands are given in two segments or more but with a
different market strategy in each (Lhotáková & Klosová, 2009).
In the undifferentiated targeting strategy, a firm embraces the philosophy of mass market,
observing the market as one large market without individual segments. Undifferentiated
marketing implies creating one offering to the entire market; the offering is focused in the
direction of what many individuals need and the majority’s common. This strategy
asserts that discrete customers have same requirements that are met with a mutual
marketing mix (Moyo, 2005).The strategy is an approach of mass marketing that
disregards variances among the segments. The entire market is reflected to be
undistinguished and the brand or product is aimed to anyone (Lhotáková & Klosová,
2009).A firm does not deliberate the variances between every segment and considers
targeting the market with a single offer. Thus, the organization concentrates on the
comparable wants of the customers instead of the variances (Larsen, 2010).
A niche market (one market segment) is picked to target efforts in market under the
concentrated targeting strategy. Appealing to one segment grants the opportunity of
17
17
focusing on comprehending the motives, satisfactions and needs of the members of the
segment and on establishing and sustaining a marketing mix that is greatly specialized
(Moyo, 2005). By use of concentrated targeting strategy, a firm is capable of marketing
more efficiently because of prodigious knowledge and a position that is strong in the
needs of the customers inside every segment. Even though concentrated targeting strategy
can be extremely profit gaining, likewise it includes a big risk because of the fact that the
firms depend on some segments for their entire firm and will suffer majorly if the
segment goes sour (Larsen, 2010).The strategy can also become tragic for a business that
is unsuccessful in its target market that is narrowly defined (Moutinho, 2000).
2.5 Positioning Strategies
The procedure of creating positioning strategies requires one to have the skill to create a
marketplace picture and creatively thinks about the three sub-components and the
interrelationships between them (Brooksbank, 1994). These strategies are easier to create
and put into use in cases where products are sold only to a single market that includes a
group of homogeneous people that value offerings like value and convenience (Moschis,
Lee & Mathur, 1997). According to Cant et al, (2002) seven distinguishable positioning
strategies exist, that is, positioning of attributes, benefits, competitor, user,
use/application, and quality/price and product category.
The enterprise puts itself in standings of one or more outstanding qualities or benefits in
attribute positioning (Moyo, 2005). In this positioning, an enterprise can position itself in
relations to one or additional features or attributes. The benefit method of positioning
stresses the exclusive benefits that the customers get from products or firms (Moyo,
17
focusing on comprehending the motives, satisfactions and needs of the members of the
segment and on establishing and sustaining a marketing mix that is greatly specialized
(Moyo, 2005). By use of concentrated targeting strategy, a firm is capable of marketing
more efficiently because of prodigious knowledge and a position that is strong in the
needs of the customers inside every segment. Even though concentrated targeting strategy
can be extremely profit gaining, likewise it includes a big risk because of the fact that the
firms depend on some segments for their entire firm and will suffer majorly if the
segment goes sour (Larsen, 2010).The strategy can also become tragic for a business that
is unsuccessful in its target market that is narrowly defined (Moutinho, 2000).
2.5 Positioning Strategies
The procedure of creating positioning strategies requires one to have the skill to create a
marketplace picture and creatively thinks about the three sub-components and the
interrelationships between them (Brooksbank, 1994). These strategies are easier to create
and put into use in cases where products are sold only to a single market that includes a
group of homogeneous people that value offerings like value and convenience (Moschis,
Lee & Mathur, 1997). According to Cant et al, (2002) seven distinguishable positioning
strategies exist, that is, positioning of attributes, benefits, competitor, user,
use/application, and quality/price and product category.
The enterprise puts itself in standings of one or more outstanding qualities or benefits in
attribute positioning (Moyo, 2005). In this positioning, an enterprise can position itself in
relations to one or additional features or attributes. The benefit method of positioning
stresses the exclusive benefits that the customers get from products or firms (Moyo,
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18
18
2005).It highlights the unique benefits offered by the product or enterprise. Under the
benefit positioning, products and services act as leaders in a certain benefit proposition.
This depends on recognizing other segments of benefit with markets clearly and then
putting focus on what they want(Kipyegon, 2009).In the positioning of use/application an
organization can put its products or self in regard to the application possibility or use of
product (Moyo, 2005).
In positioning of the user, enterprise uses the users in mind to position its products, using
personalities or models. Through this positioning, the enterprise positions their products
in consideration to the users (Moyo, 2005). Through competitor positioning, it’s possible
to position certain products against offerings that are competitive. The competitive
position chosen by a firm to dwell in is a mixture of the differential advantage it seeks to
form so as to secure that market and the target market it chooses (Kipyegon, 2009).In
positioning of a competitor some market offerings are better positioned against
competitive offerings.
The quality/price positioning base, so as to signal the quality or stress low price to
indicate value can place their attention on high price (Moyo, 2005).The enterprise can say
their product is of excellent taste, or the price is low. A products price has the ability to
find the class of the product in the positioning of the objective. It can also improve the
perceived consumers’ value in the subjective positioning (Ayele, 2012).In product
positioning it’s possible for a firm to put itself in the category of the product
untraditionally connected to it, thus expands opportunities for business (Moyo,
2005).Product positioning is a scheme focusing directly on the specific benefits or
attributes of a product, that is, features distinguishing brands from each other (Dibb &
18
2005).It highlights the unique benefits offered by the product or enterprise. Under the
benefit positioning, products and services act as leaders in a certain benefit proposition.
This depends on recognizing other segments of benefit with markets clearly and then
putting focus on what they want(Kipyegon, 2009).In the positioning of use/application an
organization can put its products or self in regard to the application possibility or use of
product (Moyo, 2005).
In positioning of the user, enterprise uses the users in mind to position its products, using
personalities or models. Through this positioning, the enterprise positions their products
in consideration to the users (Moyo, 2005). Through competitor positioning, it’s possible
to position certain products against offerings that are competitive. The competitive
position chosen by a firm to dwell in is a mixture of the differential advantage it seeks to
form so as to secure that market and the target market it chooses (Kipyegon, 2009).In
positioning of a competitor some market offerings are better positioned against
competitive offerings.
The quality/price positioning base, so as to signal the quality or stress low price to
indicate value can place their attention on high price (Moyo, 2005).The enterprise can say
their product is of excellent taste, or the price is low. A products price has the ability to
find the class of the product in the positioning of the objective. It can also improve the
perceived consumers’ value in the subjective positioning (Ayele, 2012).In product
positioning it’s possible for a firm to put itself in the category of the product
untraditionally connected to it, thus expands opportunities for business (Moyo,
2005).Product positioning is a scheme focusing directly on the specific benefits or
attributes of a product, that is, features distinguishing brands from each other (Dibb &
19
19
Simkin, 1996). In the position of the product, product is explained by consumers on
essential features - the products place in the mind of the consumer relative to products in
competition (Walletzký, 2015).
2.6 Empirical Review
Several studies have explored the segmentation, targeting and positioning concepts and
their impact on organization. A study by Kinoti and Njeru (2013) studied the strategies of
market positioning engaged by firms (pharmaceutical) promoting medicines in Nairobi
by use of a survey research. The study picked the size of 50 firms as a sample through the
method purposive sampling. Data was collected from senior medical representative or
marketing manager of the experimented pharmaceutical companies using structured and
semi structured questionnaire. The authors established the practice of positioning
strategies by pharmaceutical companies but the degree differs though all firms such that it
is seen as offering medicines that are high quality to patients. The study found that price
positioning strategy is lesser practiced by pharmaceutical firms and most of them reflect
on drug’s quality as very essential.
In their study, Claudiu, Ionel and Tudor (2008) studied the STP of the providers in
Romania. The study focused on application of strategic marketing as an important factor
in the connection to the suppliers by companies from the business – to - business market.
The study found that the key vital measures applied by firms operating on the Romanian
business-to-business market were product price, product quality, long-term relationships
and granted discounts, availability of supplier services provision, granted credit facilities,
and products supplied.
19
Simkin, 1996). In the position of the product, product is explained by consumers on
essential features - the products place in the mind of the consumer relative to products in
competition (Walletzký, 2015).
2.6 Empirical Review
Several studies have explored the segmentation, targeting and positioning concepts and
their impact on organization. A study by Kinoti and Njeru (2013) studied the strategies of
market positioning engaged by firms (pharmaceutical) promoting medicines in Nairobi
by use of a survey research. The study picked the size of 50 firms as a sample through the
method purposive sampling. Data was collected from senior medical representative or
marketing manager of the experimented pharmaceutical companies using structured and
semi structured questionnaire. The authors established the practice of positioning
strategies by pharmaceutical companies but the degree differs though all firms such that it
is seen as offering medicines that are high quality to patients. The study found that price
positioning strategy is lesser practiced by pharmaceutical firms and most of them reflect
on drug’s quality as very essential.
In their study, Claudiu, Ionel and Tudor (2008) studied the STP of the providers in
Romania. The study focused on application of strategic marketing as an important factor
in the connection to the suppliers by companies from the business – to - business market.
The study found that the key vital measures applied by firms operating on the Romanian
business-to-business market were product price, product quality, long-term relationships
and granted discounts, availability of supplier services provision, granted credit facilities,
and products supplied.
20
20
Craft and Hassan (2005) explored the association between segmentation bases and
positioning strategies in international markets. The study adopted the assessment of
principal component to establish the main macro in addition to micro bases of
segmentation, which are connected to options of strategic positioning decision.
Additionally, an analysis of regression was applied to determine the influence of each of
the bases of segmentation on the several options of strategic positioning applied by
managers of the segmentation. The research discoveries observed that the joint use of
both micro and macro segmentation bases so as to influence comparable strategic
positioning globally. However, the study observed that micro bases of segmentation are
necessary in pursuing differential positioning strategies.
A study by Ng’oo (2012) studied the adoption of positioning strategies by 16 big audit
firms in Kenya. The study used descriptive design and collected data from five senior
managers from each firm using a semi- structured questionnaire. The study found that
100% of the audit firms used product-positioning strategies, price positioning strategies,
cultural symbols and competitor positioning strategies to gain and retain the market share
where they control more than 70% of the market. The study further established that these
firms concentrated on product responsiveness attribute in their positioning strategies
while adopting time and location pricing strategies to stand out from their competitors.
Further still, brand name and competitor positioning were very much in use by the
surveyed audit firms as preferred positioning strategies.
Additionally, Olbara (2011) studied the relationship between competitive advantage and
target marketing strategy by Standard Chartered Bank. The study collected data using an
interview guide, which acted as a guide during the interview. The study found that target
20
Craft and Hassan (2005) explored the association between segmentation bases and
positioning strategies in international markets. The study adopted the assessment of
principal component to establish the main macro in addition to micro bases of
segmentation, which are connected to options of strategic positioning decision.
Additionally, an analysis of regression was applied to determine the influence of each of
the bases of segmentation on the several options of strategic positioning applied by
managers of the segmentation. The research discoveries observed that the joint use of
both micro and macro segmentation bases so as to influence comparable strategic
positioning globally. However, the study observed that micro bases of segmentation are
necessary in pursuing differential positioning strategies.
A study by Ng’oo (2012) studied the adoption of positioning strategies by 16 big audit
firms in Kenya. The study used descriptive design and collected data from five senior
managers from each firm using a semi- structured questionnaire. The study found that
100% of the audit firms used product-positioning strategies, price positioning strategies,
cultural symbols and competitor positioning strategies to gain and retain the market share
where they control more than 70% of the market. The study further established that these
firms concentrated on product responsiveness attribute in their positioning strategies
while adopting time and location pricing strategies to stand out from their competitors.
Further still, brand name and competitor positioning were very much in use by the
surveyed audit firms as preferred positioning strategies.
Additionally, Olbara (2011) studied the relationship between competitive advantage and
target marketing strategy by Standard Chartered Bank. The study collected data using an
interview guide, which acted as a guide during the interview. The study found that target
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21
21
marketing has enabled the bank to achieve competitive advantage through brand building,
use of differentiation strategy, analysis of environmental factors, innovation, competitive
conditions and available resources. The study concluded that the bank should continue
innovating products for its target market and building the brand, which they have
achieved through offering services to the targeted market.
Kipyegon (2009) assessed the positioning strategies adopted by courier firms in Kenya.
The study also examined how the firms develop and use these strategies to sustain their
competitive advantage. The study adopted a descriptive design and targeted ten courier
firms based in Nairobi. Data was composed by usage of a self-administered open and
closed ended questionnaire. The study established that acceptance of the positioning
strategies by the decision makers is critical and therefore there is need for good
identification of the customer needs to help in speeding up the adoption of this strategy
and avoid rejection of the same. However, limiting aspects such as lack of technical
skills, poor understanding of the relevance of positioning strategies by those in the
management and poor internal support hinder the implementation.
Ayele (2012) also investigated the adopted positioning strategies by Nairobi five-star
hotels, Kenya, to remain proficient in the market’s tough competition in the hotel
industry. The study has been carried out by in view of seven five-star hotels in Nairobi.
The study found that these hotels in Nairobi had embraced a number of positioning
strategies centered on altered approaches of coming up with positioning strategy. The
positioning strategies adopted by five-star hotels include; personal contact positioning,
extensive staff training, positioning strategies and leadership positioning which the six
five-star hotels incorporate highest extent approach.
21
marketing has enabled the bank to achieve competitive advantage through brand building,
use of differentiation strategy, analysis of environmental factors, innovation, competitive
conditions and available resources. The study concluded that the bank should continue
innovating products for its target market and building the brand, which they have
achieved through offering services to the targeted market.
Kipyegon (2009) assessed the positioning strategies adopted by courier firms in Kenya.
The study also examined how the firms develop and use these strategies to sustain their
competitive advantage. The study adopted a descriptive design and targeted ten courier
firms based in Nairobi. Data was composed by usage of a self-administered open and
closed ended questionnaire. The study established that acceptance of the positioning
strategies by the decision makers is critical and therefore there is need for good
identification of the customer needs to help in speeding up the adoption of this strategy
and avoid rejection of the same. However, limiting aspects such as lack of technical
skills, poor understanding of the relevance of positioning strategies by those in the
management and poor internal support hinder the implementation.
Ayele (2012) also investigated the adopted positioning strategies by Nairobi five-star
hotels, Kenya, to remain proficient in the market’s tough competition in the hotel
industry. The study has been carried out by in view of seven five-star hotels in Nairobi.
The study found that these hotels in Nairobi had embraced a number of positioning
strategies centered on altered approaches of coming up with positioning strategy. The
positioning strategies adopted by five-star hotels include; personal contact positioning,
extensive staff training, positioning strategies and leadership positioning which the six
five-star hotels incorporate highest extent approach.
22
22
Chelimo (2012) studied the positioning strategies put in use by Telecommunication firms
in Kenya. The study collected primary data by use of questionnaires that are semi
structured, which were directed to in-charge individuals of strategic planning function,
and in lack of their presence, to persons managing the marketing function. The findings
of the study established that customers prefer most telecommunication firms because of
their characteristics of products, advancement in technological, superior characteristics of
product and prices that are competitive, as these impacts on positioning to a larger
degree.
22
Chelimo (2012) studied the positioning strategies put in use by Telecommunication firms
in Kenya. The study collected primary data by use of questionnaires that are semi
structured, which were directed to in-charge individuals of strategic planning function,
and in lack of their presence, to persons managing the marketing function. The findings
of the study established that customers prefer most telecommunication firms because of
their characteristics of products, advancement in technological, superior characteristics of
product and prices that are competitive, as these impacts on positioning to a larger
degree.
23
23
CHAPTER THREE: RESEARCH METHODOLOGY
3.1 Introduction
This chapter comprises of the research design, population of the study, data collection
and finally the data analysis technique.
3.2 Research Design
This research sought to assess the effect of targeting, segmentation of markets and
positioning strategies by international schools in Nairobi. Thus, the study used a cross
sectional descriptive survey design. A cross sectional descriptive survey provides an
accurate account of the characteristics. A descriptive research aims at providing a valid
and precise depiction of the variables or aspects that relate or are relevant to the questions
of research. A cross sectional descriptive survey study also seeks to define the features of
precise groups, estimate the fraction of individuals who have certain features and make
estimations.
3.3 Population of the Study
The population refers to the entire group of people or objects that the researcher is
concerned with inferring the conclusions. The population of this study comprised of the
34 international schools in Nairobi County (See appendix I). The study carried out a
census of the 34 international schools. A census was considered since the population was
small
23
CHAPTER THREE: RESEARCH METHODOLOGY
3.1 Introduction
This chapter comprises of the research design, population of the study, data collection
and finally the data analysis technique.
3.2 Research Design
This research sought to assess the effect of targeting, segmentation of markets and
positioning strategies by international schools in Nairobi. Thus, the study used a cross
sectional descriptive survey design. A cross sectional descriptive survey provides an
accurate account of the characteristics. A descriptive research aims at providing a valid
and precise depiction of the variables or aspects that relate or are relevant to the questions
of research. A cross sectional descriptive survey study also seeks to define the features of
precise groups, estimate the fraction of individuals who have certain features and make
estimations.
3.3 Population of the Study
The population refers to the entire group of people or objects that the researcher is
concerned with inferring the conclusions. The population of this study comprised of the
34 international schools in Nairobi County (See appendix I). The study carried out a
census of the 34 international schools. A census was considered since the population was
small
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24
3.4 Data Collection
Primary data was used for this study. The primary data was collected by use of
questionnaires that are semi structured in nature. The semi-structured questionnaires were
self-administered to the marketing manager at each international school. The
questionnaire contained semi structured questions with most of them comprising of a 5-
scale Likert like questions. Questionnaires were preferred since they are considered
effective when dealing with a large number of respondents, guarantees respondents’
anonymity, save time and facilitate a quick derivation of information.
3.5 Data Analysis
Data analysis entails examining the data collected and making deductions and inferences.
The data collected was edited for accuracy, consistency and completeness and then
analyzed using descriptive statistics with the help of Statistical Package of Social
Sciences. Descriptive statistics was used to summarize the data using frequencies,
percentages, mean and standard deviation.
24
3.4 Data Collection
Primary data was used for this study. The primary data was collected by use of
questionnaires that are semi structured in nature. The semi-structured questionnaires were
self-administered to the marketing manager at each international school. The
questionnaire contained semi structured questions with most of them comprising of a 5-
scale Likert like questions. Questionnaires were preferred since they are considered
effective when dealing with a large number of respondents, guarantees respondents’
anonymity, save time and facilitate a quick derivation of information.
3.5 Data Analysis
Data analysis entails examining the data collected and making deductions and inferences.
The data collected was edited for accuracy, consistency and completeness and then
analyzed using descriptive statistics with the help of Statistical Package of Social
Sciences. Descriptive statistics was used to summarize the data using frequencies,
percentages, mean and standard deviation.
25
25
CHAPTER FOUR: DATA ANALYSIS, RESULTS AND
INTERPRETATION
4.1 Introduction
This section presents the findings of the analyzed data and the interpretation of the
research findings. The chapter outlines the response rate, general information, findings on
the segmentation, targeting and positioning strategies applied by international schools,
the extent of their application and the effect of the STP strategies on international
schools.
4.2 Response Rate
This study carried out a census of the 34 international schools in Nairobi. The study
however obtained complete data from 27 international schools. The 27 international
schools made a response rate of 79.41%, which was more than 50% hence adequate.
Table 4.1 shows the response rate results
Table 4.1 Response Rate
Frequency Percent
Questionnaires responded to 27 79.4
Questionnaires not responded to 7 20.6
Total 34 100.0
Source: Research findings
25
CHAPTER FOUR: DATA ANALYSIS, RESULTS AND
INTERPRETATION
4.1 Introduction
This section presents the findings of the analyzed data and the interpretation of the
research findings. The chapter outlines the response rate, general information, findings on
the segmentation, targeting and positioning strategies applied by international schools,
the extent of their application and the effect of the STP strategies on international
schools.
4.2 Response Rate
This study carried out a census of the 34 international schools in Nairobi. The study
however obtained complete data from 27 international schools. The 27 international
schools made a response rate of 79.41%, which was more than 50% hence adequate.
Table 4.1 shows the response rate results
Table 4.1 Response Rate
Frequency Percent
Questionnaires responded to 27 79.4
Questionnaires not responded to 7 20.6
Total 34 100.0
Source: Research findings
26
26
4.3 General Information
This section covered the period in which the school has been in operationand the number
of students in the schools. The findings are illustrated in table 4.2
Table 4.2 General Information
n=27 Frequency Percent
Period in operation 6-10 years 8 29.6
11-15 years 6 22.2
Over 16 years 13 48.1
No of students 101-300 6 22.2
301-500 9 33.3
More than 500 12 44.4
Source: Research findings
The results on table 4.2 indicate that 48.1% of the international schools had been in
operation for more than 16 years whereas 29.6% had been in operation for a period of 6 –
10 years while 22.2% had been in operation for a period of 11-15 years. The results on
average indicate that most of the international schools had been in operation for more
than 10 years. The results further indicate that 44.4% of the international schools had
more than 500 students whereas 33.3% had 301 and 500 students while 22.2% had 101 –
300 students. The findings on average indicate that most of the international schools had
more than 300 students.
26
4.3 General Information
This section covered the period in which the school has been in operationand the number
of students in the schools. The findings are illustrated in table 4.2
Table 4.2 General Information
n=27 Frequency Percent
Period in operation 6-10 years 8 29.6
11-15 years 6 22.2
Over 16 years 13 48.1
No of students 101-300 6 22.2
301-500 9 33.3
More than 500 12 44.4
Source: Research findings
The results on table 4.2 indicate that 48.1% of the international schools had been in
operation for more than 16 years whereas 29.6% had been in operation for a period of 6 –
10 years while 22.2% had been in operation for a period of 11-15 years. The results on
average indicate that most of the international schools had been in operation for more
than 10 years. The results further indicate that 44.4% of the international schools had
more than 500 students whereas 33.3% had 301 and 500 students while 22.2% had 101 –
300 students. The findings on average indicate that most of the international schools had
more than 300 students.
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27
27
4.4 Segmentation, Targeting and Positioning Strategies
This sought to establish the segmentation, targeting and positioning strategies applied by
international schools in Nairobi. The results are shown by table 4.3
Table 4.3 Segmentation, Targeting and Positioning Strategies
Strategy Statement Agree
F (%)
Disagreed
F (%)
Segmentation
Strategies
Segmentation based on the gender (Boys/girls school
or mixed only)
21(77.8) 6 (22.2)
Segmentation based on age of students (Primary or
secondary only or both)
13 (48.1) 14 (51.9)
Segmentation based on amount of fees 14 (51.9) 13 (48.1)
Concentration on a particular education system(8-4-4
or others)
22 (81.5) 5 (18.5)
Targeting
Strategies
Undifferentiated targeting strategy by viewing the
market as one big market
13 (48.1) 14 (51.9)
Niche market by targeting one segment of a market 11 (40.7) 16 (59.3)
Differentiated marketing by targeting two or more well
defined market segments
12 (44.4) 15 (55.6)
Positioning
Strategies
Attribute positioning based one or more outstanding
attributes
12 (44.4) 15 (55.6)
Benefit positioning through emphasizing on the unique
benefits offered
23 (85.2) 4 (14.8)
User positioning by positioning services with users in 11 (40.7) 16 (59.3)
27
4.4 Segmentation, Targeting and Positioning Strategies
This sought to establish the segmentation, targeting and positioning strategies applied by
international schools in Nairobi. The results are shown by table 4.3
Table 4.3 Segmentation, Targeting and Positioning Strategies
Strategy Statement Agree
F (%)
Disagreed
F (%)
Segmentation
Strategies
Segmentation based on the gender (Boys/girls school
or mixed only)
21(77.8) 6 (22.2)
Segmentation based on age of students (Primary or
secondary only or both)
13 (48.1) 14 (51.9)
Segmentation based on amount of fees 14 (51.9) 13 (48.1)
Concentration on a particular education system(8-4-4
or others)
22 (81.5) 5 (18.5)
Targeting
Strategies
Undifferentiated targeting strategy by viewing the
market as one big market
13 (48.1) 14 (51.9)
Niche market by targeting one segment of a market 11 (40.7) 16 (59.3)
Differentiated marketing by targeting two or more well
defined market segments
12 (44.4) 15 (55.6)
Positioning
Strategies
Attribute positioning based one or more outstanding
attributes
12 (44.4) 15 (55.6)
Benefit positioning through emphasizing on the unique
benefits offered
23 (85.2) 4 (14.8)
User positioning by positioning services with users in 11 (40.7) 16 (59.3)
28
28
mind using personalities
Competitor positioning by positioning against
competitive offerings
6 (22.2) 21 (77.8)
Product positioning by providing exceptional quality of
services
24 (88.9) 3 (11.1)
Source: Research findings
The results on table 4.3 indicates that 77.8% of the respondents indicated that
segmentation in their school was based on the gender (Boys/girls school or mixed only)
whereas 48.1% agreed that they segmented students based on age on students (Primary or
secondary only or both) respectively. The results also indicate that 51.9% of the
respondents indicated that segmentation was based on amount of fees while 81.5%
indicated that their schools concentrated on a particular education system. This finding
indicates that most of the international schools segmented their students based on gender,
fees paid and the education system.
On targeting strategies, the results indicate that 51.9% of the respondents disagreed that
their schools used undifferentiated targeting strategy by viewing the market as one big
market while 59.3% disagreed that their schools use niche market by targeting one
segment of a market. The results further indicate that 55.6% of the respondents disagreed
that their schools used differentiated marketing by targeting two or more well defined
market segments. This finding indicates that most of the international schools do not use
undifferentiated targeting, niche market by targeting one segment and differentiated
marketing by targeting two or more well defined market segments.
28
mind using personalities
Competitor positioning by positioning against
competitive offerings
6 (22.2) 21 (77.8)
Product positioning by providing exceptional quality of
services
24 (88.9) 3 (11.1)
Source: Research findings
The results on table 4.3 indicates that 77.8% of the respondents indicated that
segmentation in their school was based on the gender (Boys/girls school or mixed only)
whereas 48.1% agreed that they segmented students based on age on students (Primary or
secondary only or both) respectively. The results also indicate that 51.9% of the
respondents indicated that segmentation was based on amount of fees while 81.5%
indicated that their schools concentrated on a particular education system. This finding
indicates that most of the international schools segmented their students based on gender,
fees paid and the education system.
On targeting strategies, the results indicate that 51.9% of the respondents disagreed that
their schools used undifferentiated targeting strategy by viewing the market as one big
market while 59.3% disagreed that their schools use niche market by targeting one
segment of a market. The results further indicate that 55.6% of the respondents disagreed
that their schools used differentiated marketing by targeting two or more well defined
market segments. This finding indicates that most of the international schools do not use
undifferentiated targeting, niche market by targeting one segment and differentiated
marketing by targeting two or more well defined market segments.
29
29
The findings on positioning strategies indicate that 55.6% of the respondents disagreed
that their schools use attribute positioning based one or more outstanding attributes while
77.8% disagreed that their schools use competitor positioning by positioning against
competitive offerings. The results further show that 85.2% of the schools use benefit
positioning through emphasizing on the unique benefits offered while 88.9% indicated
that their schools used product positioning by providing exceptional quality of services
respectively. The findings also show that 59.3% of the respondents disagreed that their
schools employ the user positioning by positioning services with users in mind using
personalities. This finding indicates that international schools use benefit positioning
through emphasizing on the unique benefits offered and product positioning by providing
exceptional quality of services respectively.
4.5 Extent of the application of segmentation, targeting and positioning
strategies
This section sought to assess the extent of the application of segmentation, targeting and
positioning strategies by international schools in Nairobi. Table 4.4 shows the obtained
findings
Table 4.4 Extent of the Application of Segmentation, Targeting and Positioning
Strategies
Mean Std.
Dev
Segmentation
Strategies
Segmentation based on the gender 3.15 1.634
Segmentation based on age of students 2.81 1.642
Segmentation based on amount of fees 3.26 1.701
Concentration on a particular education system 3.89 1.577
29
The findings on positioning strategies indicate that 55.6% of the respondents disagreed
that their schools use attribute positioning based one or more outstanding attributes while
77.8% disagreed that their schools use competitor positioning by positioning against
competitive offerings. The results further show that 85.2% of the schools use benefit
positioning through emphasizing on the unique benefits offered while 88.9% indicated
that their schools used product positioning by providing exceptional quality of services
respectively. The findings also show that 59.3% of the respondents disagreed that their
schools employ the user positioning by positioning services with users in mind using
personalities. This finding indicates that international schools use benefit positioning
through emphasizing on the unique benefits offered and product positioning by providing
exceptional quality of services respectively.
4.5 Extent of the application of segmentation, targeting and positioning
strategies
This section sought to assess the extent of the application of segmentation, targeting and
positioning strategies by international schools in Nairobi. Table 4.4 shows the obtained
findings
Table 4.4 Extent of the Application of Segmentation, Targeting and Positioning
Strategies
Mean Std.
Dev
Segmentation
Strategies
Segmentation based on the gender 3.15 1.634
Segmentation based on age of students 2.81 1.642
Segmentation based on amount of fees 3.26 1.701
Concentration on a particular education system 3.89 1.577
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Targeting
Strategies
Undifferentiated targeting strategy by viewing the
market as one big market
2.11 1.423
Niche market by targeting one segment of a market 2.04 1.743
Differentiated marketing through targeting two or
more well defined market segments
2.09 1.623
Positioning
Strategies
Attribute positioning based on one or more
outstanding attributes
2.81 1.594
Benefit positioning through emphasizing on the unique
benefits offered
3.78 1.649
User positioning by positioning services with users in
mind using personalities
2.03 1.238
Competitor positioning by positioning against
competitor products and services
2.22 1.502
Product positioning by providing exceptional quality
of services
3.26 1.723
Source: Research findings
The results on the extent of application of segmentation strategies indicate that
segmentation based on the gender, segmentation based on amount of fees and
concentration on a particular education system were applied at moderate extent as
indicated by the mean values of 3 and above which correspond to the Likert scale value
of 3 which indicates “moderate extent”. The results further indicate that segmentation
based on age on students was applied by international school on a minimal extent as
indicated by the mean value of 2.81, which corresponds to the Likert scale value of 2
which stands for “minimal extent”.
The findings on the application of targeting strategies indicate that undifferentiated
targeting strategy by viewing the market as one big market, niche market by targeting one
segment of a market and differentiated marketing through targeting two or more well
30
Targeting
Strategies
Undifferentiated targeting strategy by viewing the
market as one big market
2.11 1.423
Niche market by targeting one segment of a market 2.04 1.743
Differentiated marketing through targeting two or
more well defined market segments
2.09 1.623
Positioning
Strategies
Attribute positioning based on one or more
outstanding attributes
2.81 1.594
Benefit positioning through emphasizing on the unique
benefits offered
3.78 1.649
User positioning by positioning services with users in
mind using personalities
2.03 1.238
Competitor positioning by positioning against
competitor products and services
2.22 1.502
Product positioning by providing exceptional quality
of services
3.26 1.723
Source: Research findings
The results on the extent of application of segmentation strategies indicate that
segmentation based on the gender, segmentation based on amount of fees and
concentration on a particular education system were applied at moderate extent as
indicated by the mean values of 3 and above which correspond to the Likert scale value
of 3 which indicates “moderate extent”. The results further indicate that segmentation
based on age on students was applied by international school on a minimal extent as
indicated by the mean value of 2.81, which corresponds to the Likert scale value of 2
which stands for “minimal extent”.
The findings on the application of targeting strategies indicate that undifferentiated
targeting strategy by viewing the market as one big market, niche market by targeting one
segment of a market and differentiated marketing through targeting two or more well
31
31
defined market segments application by international schools was minimal. This is
indicated by the mean values of 2.11, 2.04 and 2.09, which correspond to the Likert scale
value of 2 which stands for “minimal extent”.
The findings on positioning strategies indicate that attribute positioning based on one or
more outstanding attributes, user positioning by positioning services with users in mind
using personalities and competitor positioning by positioning against competitor products
and services are applied at a minimal extent by international schools as indicated by mean
values of 2.81, 2.03 and 2.22 respectively. The results also show that benefit positioning
through emphasizing on the unique benefits offered and product positioning by providing
exceptional quality of services is applied at a moderate extent by international schools.
4.6 Effect of segmentation, targeting and positioning strategies
This section sought to explore the effect of segmentation, targeting and positioning
strategies on international schools in Nairobi. Table 4.5 shows the obtained findings
Table 4.5 Effect of Segmentation, Targeting and Positioning Strategies
Mean Std. Dev.
Segmentation
Strategies
Focusing on a one or specific market segment can be
beneficial to international schools
2.07 1.141
Segmenting clients based on resemblance of their
reactions can enhance marketing efficiency
2.26 .984
Market segmentation helps international schools to adjust
to specific needs in the market
1.74 1.023
Effective segmentation can allow international schools to
serve their clients according to their needs
1.66 .934
Segmentation can help international schools to identify
the specific areas and to find new customers
1.56 .751
Targeting Targeting can enable international schools to focus of the 1.56 .751
31
defined market segments application by international schools was minimal. This is
indicated by the mean values of 2.11, 2.04 and 2.09, which correspond to the Likert scale
value of 2 which stands for “minimal extent”.
The findings on positioning strategies indicate that attribute positioning based on one or
more outstanding attributes, user positioning by positioning services with users in mind
using personalities and competitor positioning by positioning against competitor products
and services are applied at a minimal extent by international schools as indicated by mean
values of 2.81, 2.03 and 2.22 respectively. The results also show that benefit positioning
through emphasizing on the unique benefits offered and product positioning by providing
exceptional quality of services is applied at a moderate extent by international schools.
4.6 Effect of segmentation, targeting and positioning strategies
This section sought to explore the effect of segmentation, targeting and positioning
strategies on international schools in Nairobi. Table 4.5 shows the obtained findings
Table 4.5 Effect of Segmentation, Targeting and Positioning Strategies
Mean Std. Dev.
Segmentation
Strategies
Focusing on a one or specific market segment can be
beneficial to international schools
2.07 1.141
Segmenting clients based on resemblance of their
reactions can enhance marketing efficiency
2.26 .984
Market segmentation helps international schools to adjust
to specific needs in the market
1.74 1.023
Effective segmentation can allow international schools to
serve their clients according to their needs
1.66 .934
Segmentation can help international schools to identify
the specific areas and to find new customers
1.56 .751
Targeting Targeting can enable international schools to focus of the 1.56 .751
32
32
Strategies precise need of the targeted segment
Targeting can permit international schools to determine
the amount of fees and services to offer
1.78 1.050
Targeting can allow international schools to understand
the market structure and how to serve it
1.70 .953
Targeting can enable international schools to direct their
marketing time, resources to a particular segment
1.74 .944
Market targeting can assist international school to
develop and sustain an appropriate marketing mix
2.11 1.050
Positioning
Strategies
Market positioning can help international schools to
build their image
1.59 1.083
Market positions can help international schools to create
proper appeals in the minds of the target market
1.67 .961
Positioning can allow internationals schools to brand
themselves and the benefits the offer to students
1.70 .869
Positioning can allow international schools to fulfill the
requirements of their target markets
1.81 .879
Source: Research findings
The findings on the effect of segmentation strategies on international schools indicate that
the respondents agreed that focusing on a one or specific market segment is beneficial to
international schools and segmenting clients based on resemblance of their reactions
enhances marketing efficiency in international schools. This is indicated by mean values
of 2.07 and 2.26 which correspond to the Likert scale value of 2 which stands for
“agree”. The findings also indicate that the respondents strongly agreed that market
segmentation helps international schools to adjust to specific needs in the market,
effective segmentation allows international schools to serve their clients according to
their needs and segmentation helps international schools to identify the areas having
32
Strategies precise need of the targeted segment
Targeting can permit international schools to determine
the amount of fees and services to offer
1.78 1.050
Targeting can allow international schools to understand
the market structure and how to serve it
1.70 .953
Targeting can enable international schools to direct their
marketing time, resources to a particular segment
1.74 .944
Market targeting can assist international school to
develop and sustain an appropriate marketing mix
2.11 1.050
Positioning
Strategies
Market positioning can help international schools to
build their image
1.59 1.083
Market positions can help international schools to create
proper appeals in the minds of the target market
1.67 .961
Positioning can allow internationals schools to brand
themselves and the benefits the offer to students
1.70 .869
Positioning can allow international schools to fulfill the
requirements of their target markets
1.81 .879
Source: Research findings
The findings on the effect of segmentation strategies on international schools indicate that
the respondents agreed that focusing on a one or specific market segment is beneficial to
international schools and segmenting clients based on resemblance of their reactions
enhances marketing efficiency in international schools. This is indicated by mean values
of 2.07 and 2.26 which correspond to the Likert scale value of 2 which stands for
“agree”. The findings also indicate that the respondents strongly agreed that market
segmentation helps international schools to adjust to specific needs in the market,
effective segmentation allows international schools to serve their clients according to
their needs and segmentation helps international schools to identify the areas having
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33
33
specific needs and to find new customers. This is shown by the mean values of 1.74, 1.66
and 1.56 which correspond to the scale value of 1 which stands for “strongly agree”.
The results in the effect of targeting strategies on international schools indicate that the
respondents strongly agreed that targeting can enable international schools to focus of the
precise need of the targeted segment and can permit international schools to determine
the amount of fees and services to offer as indicate by mean values of 1.74 and 1.66
respectively. Additionally, the respondents also strongly agreed that targeting can allow
international schools to understand the market structure and how to serve it and can
enable international schools to direct their marketing time, resources and attention to a
particular segment as indicate by the mean values of 1.70 and 1.74 respectively.
On the effect of positioning strategies, the respondents strongly agreed that market
positioning can help international schools to build their image and positioning can help
international schools to create proper appeals in the minds of the target market as
indicated by mean values of 1.59 and 1.67 respectively. According to the results, the
respondents strongly agreed that positioning can allow internationals schools to brand
themselves and the benefits they offer to students and positioning can allow international
schools to fulfill the requirements of their target markets as indicated by mean values of
1.70 and 1.81 respectively.
4.7 Discussion of Findings
The findings established that undifferentiated targeting strategy by viewing the market as
one big market, niche market by targeting one segment of a market and differentiated
marketing through targeting two or more well defined market segments application by
33
specific needs and to find new customers. This is shown by the mean values of 1.74, 1.66
and 1.56 which correspond to the scale value of 1 which stands for “strongly agree”.
The results in the effect of targeting strategies on international schools indicate that the
respondents strongly agreed that targeting can enable international schools to focus of the
precise need of the targeted segment and can permit international schools to determine
the amount of fees and services to offer as indicate by mean values of 1.74 and 1.66
respectively. Additionally, the respondents also strongly agreed that targeting can allow
international schools to understand the market structure and how to serve it and can
enable international schools to direct their marketing time, resources and attention to a
particular segment as indicate by the mean values of 1.70 and 1.74 respectively.
On the effect of positioning strategies, the respondents strongly agreed that market
positioning can help international schools to build their image and positioning can help
international schools to create proper appeals in the minds of the target market as
indicated by mean values of 1.59 and 1.67 respectively. According to the results, the
respondents strongly agreed that positioning can allow internationals schools to brand
themselves and the benefits they offer to students and positioning can allow international
schools to fulfill the requirements of their target markets as indicated by mean values of
1.70 and 1.81 respectively.
4.7 Discussion of Findings
The findings established that undifferentiated targeting strategy by viewing the market as
one big market, niche market by targeting one segment of a market and differentiated
marketing through targeting two or more well defined market segments application by
34
34
international schools was minimal. A study by Craft and Hassan (2005) observed that the
joint use of both micro and macro segmentation bases so as to influence comparable
strategic positioning globally. According to Moutinho (2000) under multiple distinctive
potential customer groups are recognized as target market. Thus, the business thus
acquires a robust status in serving this group of customers and turn out to be a network
for additional customer group products that could get in use.
The findings established that undifferentiated targeting strategy by viewing the market as
one big market, niche market by targeting one segment of a market and differentiated
marketing through targeting two or more well defined market segments application by
international schools was minimal. A study by Olbara (2011) found that target marketing
has enabled the bank to achieve competitive advantage through brand building, use of
differentiation strategy, analysis of environmental factors, innovation, competitive
conditions and available resources.
Finally, the findings revealed that benefit positioning through emphasizing on the unique
benefits offered and product positioning by providing exceptional quality of services is
applied at a moderate extent by international schools. A study by Ng’oo (2012)
established that firms concentrated on product responsiveness attribute in their
positioning strategies while adopting time and location pricing strategies to stand out
from their competitors. Kipyegon (2009) also established that acceptance of the
positioning strategies by the decision makers is critical and therefore there is need for
good identification of the customer needs to help in speeding up the adoption of this
strategy and avoid rejection of the same.
34
international schools was minimal. A study by Craft and Hassan (2005) observed that the
joint use of both micro and macro segmentation bases so as to influence comparable
strategic positioning globally. According to Moutinho (2000) under multiple distinctive
potential customer groups are recognized as target market. Thus, the business thus
acquires a robust status in serving this group of customers and turn out to be a network
for additional customer group products that could get in use.
The findings established that undifferentiated targeting strategy by viewing the market as
one big market, niche market by targeting one segment of a market and differentiated
marketing through targeting two or more well defined market segments application by
international schools was minimal. A study by Olbara (2011) found that target marketing
has enabled the bank to achieve competitive advantage through brand building, use of
differentiation strategy, analysis of environmental factors, innovation, competitive
conditions and available resources.
Finally, the findings revealed that benefit positioning through emphasizing on the unique
benefits offered and product positioning by providing exceptional quality of services is
applied at a moderate extent by international schools. A study by Ng’oo (2012)
established that firms concentrated on product responsiveness attribute in their
positioning strategies while adopting time and location pricing strategies to stand out
from their competitors. Kipyegon (2009) also established that acceptance of the
positioning strategies by the decision makers is critical and therefore there is need for
good identification of the customer needs to help in speeding up the adoption of this
strategy and avoid rejection of the same.
35
35
CHAPTER FIVE: SUMMARY, CONCLUSION AND
RECOMMENDATIONS
5.1 Introduction
This chapter gives the summary of the research findings, the research conclusions and the
recommendations. The chapter also provides the research limitations and suggests new
areas, which require further investigation.
5.2 Summary
This study aimed at establishing the effect of segmentation, targeting and positioning
strategies on international schools in Nairobi with focus to determining segmentation,
targeting and positioning strategies the extent in which segmentation, targeting and
positioning strategies are applied by international schools in Nairobi. The study carried
out a census of the 34 international schools. The study however obtained complete data
from 27 international schools. The 27 international schools made a response rate of
79.41%, which was more than 50%, hence considered adequate. The general information
results established that most of the international schools had been in operation for more
than 10 years and that most of the international schools had more than 300 students.
This finding on the market segmentation strategies established that most of the
international schools segmented their students based on gender, fees paid and the
education system. On targeting strategies, the study revealed that undifferentiated
targeting, niche market by targeting one segment and differentiated marketing by
targeting two or more well defined market segments was used by most of the
35
CHAPTER FIVE: SUMMARY, CONCLUSION AND
RECOMMENDATIONS
5.1 Introduction
This chapter gives the summary of the research findings, the research conclusions and the
recommendations. The chapter also provides the research limitations and suggests new
areas, which require further investigation.
5.2 Summary
This study aimed at establishing the effect of segmentation, targeting and positioning
strategies on international schools in Nairobi with focus to determining segmentation,
targeting and positioning strategies the extent in which segmentation, targeting and
positioning strategies are applied by international schools in Nairobi. The study carried
out a census of the 34 international schools. The study however obtained complete data
from 27 international schools. The 27 international schools made a response rate of
79.41%, which was more than 50%, hence considered adequate. The general information
results established that most of the international schools had been in operation for more
than 10 years and that most of the international schools had more than 300 students.
This finding on the market segmentation strategies established that most of the
international schools segmented their students based on gender, fees paid and the
education system. On targeting strategies, the study revealed that undifferentiated
targeting, niche market by targeting one segment and differentiated marketing by
targeting two or more well defined market segments was used by most of the
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36
36
international schools in Nairobi. Finally, on positioning strategies the study established
that most of the applied strategies by international schools were benefit positioning
through emphasizing on the unique benefits offered and product positioning by providing
exceptional quality of services respectively.
The findings on the extent of application of segmentation strategies established that
segmentation based on gender, segmentation based on amount of fees and concentration
on a particular education system were applied at moderate extent. The findings also
established that the extent of application of undifferentiated targeting strategy by viewing
the market as one big market, niche market by targeting one segment of a market and
differentiated marketing through targeting two or more well defined market segments by
international schools was minimal. The findings revealed that benefit positioning through
emphasizing on the unique benefits offered and product positioning by providing
exceptional quality of services is applied at a moderate extent by international schools.
The findings revealed that market segmentation helps international schools to adjust to
specific needs in the market, effective segmentation allows international schools to serve
their clients according to their needs and segmentation helps international schools to
identify the areas having specific needs and to find new customers. The findings also
established that targeting can enable international schools to focus on the precise need of
the targeted segment and can permit international schools to determine the amount of fees
and services to offer. Additionally, the findings found that targeting can allow
international schools to understand the market structure and how to serve it and can
enable international schools to direct their marketing time, resources and attention to a
particular segment
36
international schools in Nairobi. Finally, on positioning strategies the study established
that most of the applied strategies by international schools were benefit positioning
through emphasizing on the unique benefits offered and product positioning by providing
exceptional quality of services respectively.
The findings on the extent of application of segmentation strategies established that
segmentation based on gender, segmentation based on amount of fees and concentration
on a particular education system were applied at moderate extent. The findings also
established that the extent of application of undifferentiated targeting strategy by viewing
the market as one big market, niche market by targeting one segment of a market and
differentiated marketing through targeting two or more well defined market segments by
international schools was minimal. The findings revealed that benefit positioning through
emphasizing on the unique benefits offered and product positioning by providing
exceptional quality of services is applied at a moderate extent by international schools.
The findings revealed that market segmentation helps international schools to adjust to
specific needs in the market, effective segmentation allows international schools to serve
their clients according to their needs and segmentation helps international schools to
identify the areas having specific needs and to find new customers. The findings also
established that targeting can enable international schools to focus on the precise need of
the targeted segment and can permit international schools to determine the amount of fees
and services to offer. Additionally, the findings found that targeting can allow
international schools to understand the market structure and how to serve it and can
enable international schools to direct their marketing time, resources and attention to a
particular segment
37
37
The results on the effect of positioning strategies, established that market positioning can
help international schools to build their image and positioning can help international
schools to create proper appeals in the minds of the target market. In addition, the results
established that positioning can allow internationals schools to brand themselves and the
benefits they offer to students and positioning can allow international schools to fulfill
the requirements of their target markets.
5.3 Conclusion
The study found that segmentation based on gender, fees paid and the education system
were the most used market segmentation strategies by international schools in Nairobi.
This study concludes that the most preferred market segmentation strategies by
international schools are segmentation based on gender, fees paid and the education
system. The study also found that the application of undifferentiated targeting, niche
market and differentiated marketing strategies by international schools was minimal. The
study therefore concludes that targeting strategies are not frequently used by international
schools in Nairobi. The study further established that benefit positioning and product
positioning by providing exceptional quality of services were the most used positioning
strategies by international schools in Kenya. The study concludes that benefit positioning
and product positioning are the preferred positioning strategies by international schools in
Nairobi.
The findings established that market segmentation helps international schools to adjust to
specific needs in the market, allows international schools to serve their clients according
to their needs and helps international schools to identify the areas having specific needs
37
The results on the effect of positioning strategies, established that market positioning can
help international schools to build their image and positioning can help international
schools to create proper appeals in the minds of the target market. In addition, the results
established that positioning can allow internationals schools to brand themselves and the
benefits they offer to students and positioning can allow international schools to fulfill
the requirements of their target markets.
5.3 Conclusion
The study found that segmentation based on gender, fees paid and the education system
were the most used market segmentation strategies by international schools in Nairobi.
This study concludes that the most preferred market segmentation strategies by
international schools are segmentation based on gender, fees paid and the education
system. The study also found that the application of undifferentiated targeting, niche
market and differentiated marketing strategies by international schools was minimal. The
study therefore concludes that targeting strategies are not frequently used by international
schools in Nairobi. The study further established that benefit positioning and product
positioning by providing exceptional quality of services were the most used positioning
strategies by international schools in Kenya. The study concludes that benefit positioning
and product positioning are the preferred positioning strategies by international schools in
Nairobi.
The findings established that market segmentation helps international schools to adjust to
specific needs in the market, allows international schools to serve their clients according
to their needs and helps international schools to identify the areas having specific needs
38
38
and to find new customers. The study therefore concludes that market segmentation
strategies allow international schools to identify prospective clients and meet their target
clients’ needs. The study found that targeting can allow international schools to
understand the market structure and how to serve it and can enable international schools
to direct their marketing time, resources and attention to a particular segment. The study
concludes that targeting strategies can help international schools to understand their
target markets and to identify prospective clients.
Finally, the study found that market positioning strategies can help international schools
to build their image and positioning can help international schools to create proper
appeals in the minds of the target market. The study concludes that positioning strategies
are vital to international schools and they help international schools to brand and position
themselves in a better position.
5.4 Recommendations
The study concluded that the most preferred market segmentation strategies by
international schools are segmentation based on gender, fees paid and the education
system. This study therefore recommends that the management of international schools
should embrace segmentation by gender, fees paid and a particular education system.
The research found that targeting strategies are not frequently used by international
schools in Nairobi. However, the findings revealed that targeting strategies can help
international schools to understand their target markets and to identify prospective
clients. The study therefore, recommends that the management of international schools
should embrace targeting strategies since they are vital to international schools.
38
and to find new customers. The study therefore concludes that market segmentation
strategies allow international schools to identify prospective clients and meet their target
clients’ needs. The study found that targeting can allow international schools to
understand the market structure and how to serve it and can enable international schools
to direct their marketing time, resources and attention to a particular segment. The study
concludes that targeting strategies can help international schools to understand their
target markets and to identify prospective clients.
Finally, the study found that market positioning strategies can help international schools
to build their image and positioning can help international schools to create proper
appeals in the minds of the target market. The study concludes that positioning strategies
are vital to international schools and they help international schools to brand and position
themselves in a better position.
5.4 Recommendations
The study concluded that the most preferred market segmentation strategies by
international schools are segmentation based on gender, fees paid and the education
system. This study therefore recommends that the management of international schools
should embrace segmentation by gender, fees paid and a particular education system.
The research found that targeting strategies are not frequently used by international
schools in Nairobi. However, the findings revealed that targeting strategies can help
international schools to understand their target markets and to identify prospective
clients. The study therefore, recommends that the management of international schools
should embrace targeting strategies since they are vital to international schools.
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39
39
The research concluded that benefit positioning and product positioning are the preferred
positioning strategies by international schools in Nairobi. The study recommends that the
management of international schools can also use other marketing positioning strategies
like user positioning and attribute positioning.
The study, based on the findings, concluded that market segmentation strategies,
targeting strategies and positioning strategies are vital to international schools and they
help international schools to brand and position themselves in a better position. The study
therefore recommends that the management of international schools in Nairobi should
ensure they incorporate market segmentation strategies, targeting and positioning
strategies since they have a positive effect on international schools in Nairobi.
5.5 Limitations of the Study
The context of this study was international schools in Nairobi, however; international
schools in Kenya are distributed all over the country. The findings therefore are limited to
international schools in Nairobi and may not be generalized to other international schools
situated in other parts of the country since they apply different marketing segmentation,
targeting and positioning strategies. The study collected data from marketing managers in
the selected international schools thus the study is based on the views of the sampled
marketing managers.
5.6 Suggestion for Further Research
The study focused on international schools in Nairobi thus the study recommends a
similar study on other international schools in other parts of the country. The study also
obtained data from both international primary and secondary schools in Nairobi. This
39
The research concluded that benefit positioning and product positioning are the preferred
positioning strategies by international schools in Nairobi. The study recommends that the
management of international schools can also use other marketing positioning strategies
like user positioning and attribute positioning.
The study, based on the findings, concluded that market segmentation strategies,
targeting strategies and positioning strategies are vital to international schools and they
help international schools to brand and position themselves in a better position. The study
therefore recommends that the management of international schools in Nairobi should
ensure they incorporate market segmentation strategies, targeting and positioning
strategies since they have a positive effect on international schools in Nairobi.
5.5 Limitations of the Study
The context of this study was international schools in Nairobi, however; international
schools in Kenya are distributed all over the country. The findings therefore are limited to
international schools in Nairobi and may not be generalized to other international schools
situated in other parts of the country since they apply different marketing segmentation,
targeting and positioning strategies. The study collected data from marketing managers in
the selected international schools thus the study is based on the views of the sampled
marketing managers.
5.6 Suggestion for Further Research
The study focused on international schools in Nairobi thus the study recommends a
similar study on other international schools in other parts of the country. The study also
obtained data from both international primary and secondary schools in Nairobi. This
40
40
study recommends an additional study on the segmentation, targeting and positioning
strategies of either primary or secondary international schools in Nairobi. The study
further recommends an additional study on the effect of segmentation, targeting and
positioning strategies on the financial performance of international schools in Nairobi.
40
study recommends an additional study on the segmentation, targeting and positioning
strategies of either primary or secondary international schools in Nairobi. The study
further recommends an additional study on the effect of segmentation, targeting and
positioning strategies on the financial performance of international schools in Nairobi.
41
41
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APPENDICES
Appendix I: Questionnaire
Dear respondent,
This questionnaire seeks to collect data on effect of market segmentation, targeting and
positioning strategies on International Schools in Nairobi. This study is academic in
nature and it is only for academic purposes. Please respond where appropriate
Section I
1) Name of School (optional)
2) Indicate the period your school has been in operation
1-5 years [ ] 6-10 years [ ] 11 – 15 years [ ] Over 16 years [ ]
3) Indicate the number of students in your school
Less than 100 [ ] 101 – 300 [ ] 301-500 [ ] More than500 [ ]
Section II
4) Please indicate the segmentation, targeting and positioning strategies as listed in the
table below. You can tick more than one option.
a) Segmentation Strategies
a. Segmentation based on the gender (Boys/girls school or mixed only)
b. Segmentation based on age of students (Primary or secondary only or both)
46
APPENDICES
Appendix I: Questionnaire
Dear respondent,
This questionnaire seeks to collect data on effect of market segmentation, targeting and
positioning strategies on International Schools in Nairobi. This study is academic in
nature and it is only for academic purposes. Please respond where appropriate
Section I
1) Name of School (optional)
2) Indicate the period your school has been in operation
1-5 years [ ] 6-10 years [ ] 11 – 15 years [ ] Over 16 years [ ]
3) Indicate the number of students in your school
Less than 100 [ ] 101 – 300 [ ] 301-500 [ ] More than500 [ ]
Section II
4) Please indicate the segmentation, targeting and positioning strategies as listed in the
table below. You can tick more than one option.
a) Segmentation Strategies
a. Segmentation based on the gender (Boys/girls school or mixed only)
b. Segmentation based on age of students (Primary or secondary only or both)
47
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c. Segmentation based on amount of fees
d. Concentration on a particular education system(8-4-4 or others)
e. Others (specify)
b) Targeting Strategies
a. Undifferentiated targeting strategy by viewing the market as one big market
b. Niche market by targeting one segment of a market
c. Differentiated marketing by targeting two or more well defined market
segments)
d. Others (specify)
c) Positioning Strategies
a. Attribute positioning based on one or more outstanding attributes
b. Benefit positioning through emphasizing on the unique benefits offered
c. User positioning by positioning services with users in mind using personalities
d. Competitor positioning by positioning against competitive offerings
e. Product positioning by providing exceptional quality of services
f. Others (specify)
5) Please indicate the extent of the application of segmentation, targeting and
positioning strategies in your school. Use the following scale where appropriate
1- Not at all 2 - Minimal extent 3 – Moderate extent 4 – Large Extent 5- Very large
47
c. Segmentation based on amount of fees
d. Concentration on a particular education system(8-4-4 or others)
e. Others (specify)
b) Targeting Strategies
a. Undifferentiated targeting strategy by viewing the market as one big market
b. Niche market by targeting one segment of a market
c. Differentiated marketing by targeting two or more well defined market
segments)
d. Others (specify)
c) Positioning Strategies
a. Attribute positioning based on one or more outstanding attributes
b. Benefit positioning through emphasizing on the unique benefits offered
c. User positioning by positioning services with users in mind using personalities
d. Competitor positioning by positioning against competitive offerings
e. Product positioning by providing exceptional quality of services
f. Others (specify)
5) Please indicate the extent of the application of segmentation, targeting and
positioning strategies in your school. Use the following scale where appropriate
1- Not at all 2 - Minimal extent 3 – Moderate extent 4 – Large Extent 5- Very large
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1 2 3 4 5
a) Segmentation Strategies
a. Segmentation based on the gender
b. Segmentation based on age on students
c. Segmentation based on amount of fees
d. Concentration on a particular education system
b) Targeting Strategies
a. Undifferentiated targeting strategy by viewing the
market as one big market
b. Niche market by targeting one segment of a market
c. Differentiated marketing through targeting two or
more well defined market segments
c) Positioning Strategies
a. Attribute positioning based one or more outstanding
attributes
b. Benefit positioning through emphasizing on the
unique benefits offered
c. User positioning by positioning services with users
in mind using personalities
d. Competitor positioning by positioning against
competitor products and services
e. Product positioning by providing exceptional quality
of services
48
1 2 3 4 5
a) Segmentation Strategies
a. Segmentation based on the gender
b. Segmentation based on age on students
c. Segmentation based on amount of fees
d. Concentration on a particular education system
b) Targeting Strategies
a. Undifferentiated targeting strategy by viewing the
market as one big market
b. Niche market by targeting one segment of a market
c. Differentiated marketing through targeting two or
more well defined market segments
c) Positioning Strategies
a. Attribute positioning based one or more outstanding
attributes
b. Benefit positioning through emphasizing on the
unique benefits offered
c. User positioning by positioning services with users
in mind using personalities
d. Competitor positioning by positioning against
competitor products and services
e. Product positioning by providing exceptional quality
of services
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49
6) Evaluate the following statements on the effect of segmentation, targeting and
positioning strategies on international schools. Use the following scale where
appropriate
1-Strongly agree 2- Agree 3 – Neutral 4- Disagree 5- Strongly Disagree
Statement 1 2 3 4 5
Market segmentation
a. Focusing on a one or specific market segment can be
beneficial to international schools
b. Segmenting clients based on resemblance of their reactions
can enhance marketing efficiency in international schools
c. Market segmentation helps international schools to adjust to
specific needs in the market
d. Effective segmentation can allow international schools to
serve their clients according to their needs
e. Segmentation can help international schools to identify the
areas having specific needs and to find new customers
Targeting
a. Targeting can enable international schools to focus of the
precise need of the targeted segment
b. Targeting can permit international schools to determine the
amount of fees and services to offer
c. Targeting can allow international schools to understand the
market structure and how to serve it
d. Targeting can enable international schools to direct their
marketing time, resources and attention to a particular
segment
49
6) Evaluate the following statements on the effect of segmentation, targeting and
positioning strategies on international schools. Use the following scale where
appropriate
1-Strongly agree 2- Agree 3 – Neutral 4- Disagree 5- Strongly Disagree
Statement 1 2 3 4 5
Market segmentation
a. Focusing on a one or specific market segment can be
beneficial to international schools
b. Segmenting clients based on resemblance of their reactions
can enhance marketing efficiency in international schools
c. Market segmentation helps international schools to adjust to
specific needs in the market
d. Effective segmentation can allow international schools to
serve their clients according to their needs
e. Segmentation can help international schools to identify the
areas having specific needs and to find new customers
Targeting
a. Targeting can enable international schools to focus of the
precise need of the targeted segment
b. Targeting can permit international schools to determine the
amount of fees and services to offer
c. Targeting can allow international schools to understand the
market structure and how to serve it
d. Targeting can enable international schools to direct their
marketing time, resources and attention to a particular
segment
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50
e. Market targeting can assist international school to develop
and sustain an appropriate marketing mix
Positioning
a. Market positioning can help international schools to build
their image
b. Market positions can help international schools to create
proper appeals in the minds of the target market
c. Positioning can allow internationals schools to brand
themselves and the benefits the offer to students
d. Positioning can allow international schools to fulfill the
requirements of their target markets
Thank you
50
e. Market targeting can assist international school to develop
and sustain an appropriate marketing mix
Positioning
a. Market positioning can help international schools to build
their image
b. Market positions can help international schools to create
proper appeals in the minds of the target market
c. Positioning can allow internationals schools to brand
themselves and the benefits the offer to students
d. Positioning can allow international schools to fulfill the
requirements of their target markets
Thank you
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Appendix II: List of International Schools in Nairobi
1. Braeburn School
2. Braeside Schools
3. Brookhouse School
4. Brookhurst International School
5. Brookshine
6. Cavina School
7. GEMS Cambridge International School
8. Hillcrest International Schools
9. Hillcrest Preparatory School
10. Inquisitive Mind International School
11. International School of Kenya
12. Kabete International School
13. Kenton College Preparatory School
14. Light International School
15. Lycee Denis Diderot –French
16. Maxwell Adventist Academy
17. Montessori Plus Center
18. Nairobi Academy Secondary School
19. Nairobi International School
20. Oshwal Academy Nairobi Junior High
21. Oshwal Academy Nairobi Senior High
22. Peponi House Preparatory School
23. Premier Academy
24. Rosslyn Academy
25. Rusinga Schools
26. St Austin’s Academy
27. St Christopher’s Secondary School
28. St Mary’s School
29. The Aga Khan Academy, Nairobi
30. The Aga Khan Nursery School, Nairobi
31. The Banda School
32. West Nairobi School
33. Woodland Star International School
34. Zuwena International School
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Appendix II: List of International Schools in Nairobi
1. Braeburn School
2. Braeside Schools
3. Brookhouse School
4. Brookhurst International School
5. Brookshine
6. Cavina School
7. GEMS Cambridge International School
8. Hillcrest International Schools
9. Hillcrest Preparatory School
10. Inquisitive Mind International School
11. International School of Kenya
12. Kabete International School
13. Kenton College Preparatory School
14. Light International School
15. Lycee Denis Diderot –French
16. Maxwell Adventist Academy
17. Montessori Plus Center
18. Nairobi Academy Secondary School
19. Nairobi International School
20. Oshwal Academy Nairobi Junior High
21. Oshwal Academy Nairobi Senior High
22. Peponi House Preparatory School
23. Premier Academy
24. Rosslyn Academy
25. Rusinga Schools
26. St Austin’s Academy
27. St Christopher’s Secondary School
28. St Mary’s School
29. The Aga Khan Academy, Nairobi
30. The Aga Khan Nursery School, Nairobi
31. The Banda School
32. West Nairobi School
33. Woodland Star International School
34. Zuwena International School
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