Choosing Target-Marketing Strategy and Attractive Market Segments

Marketing Strategy and Plan

Discuss how companies choose target-marketing strategy and identify
attractive market segments. Improve your answer with examples.
There is a proper segmentation process where a market has been segmented into different groups
and then target market must be selected. Every market segment depends upon some factors like
availability of resources and how that segment will respond upon marketing efforts. There are
three main strategies that help in selecting the target market: differentiated, concentrated and
undifferentiated. Undifferentiated strategy explains mass- marketing approach that says a
decision can be taken as per the marketing mix. This approach does not consider different market
segments and try to focus on all of them. This approach is used by public sector. Differentiated
strategy recognizes the market segment and creates different strategies for them. Concentrated
strategy identifies a target market and keeps focus only on its resources and marketing mix. This
strategy is used by mostly commercial and non- profit sectors.
Amazon is an e- commerce company and world’s largest online retailer. It was found in 1994 by
Jeff Bezos and launched the same in 1995. Amazon has six websites for different countries like
China, Canada, UK, Germany, France and Japan. It also enables customer to get international
shipping of some products in some specific countries. Amazon is involved into retail marketing
of electronics, fashion, games, baby products, health, personal care and many more. Amazon’s
target marketing strategy depends upon these factors-
1. Providing a wide range of products
2. Using an interface that is very customer- friendly
3. Using current communication systems
4. Utilization of universal mentalities and behavior
5. Exploitation of affiliate resources and products.
Target- marketing strategy of Amazon depends on number of targeted online marketing channel
like online and social advertising, sponsored search and advertisement on television. There are
some principles on which target-marketing strategy of Amazon relies-
 7 P’s of Amazon basically focus on the product and place element. It is offering
approximately 480 million in the USA. If compare to other market players, Amazon is