Concept of Segmentation, Targeting, and Positioning for Product or Services

Sales and Marketing
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INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
Concept of segmentation, targeting and positioning for product or services..............................1
Create a rationale for innovation in a new product and services................................................4
Specific target group within the framework of organisation......................................................6
Role of data in improving relationship marketing......................................................................9
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................12
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INTRODUCTION
Sales is define as an activities which is related to selling the goods in a given target time.
This is a transaction among two or more parties in which customer receives intangible or
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tangible goods, assets in terms of exchange for money (Johnson and Matthes, 2018). In context
of financial market sales refers to agreement between two people that is seller and buyer as
money is regards in terms of security. When there is service or item which is transferred by one
party to another with no compensation, this step can be regards as gift or donation.
Marketing is define as process in which company undertakes many activities for
promoting buying or selling of goods and services. It mainly includes advertising, delivering,
selling of products or services to other business or customers. It is define as an action or strategy
which helps organisation for achieve goals & objectives for enhance their profits and sales or
improved their brand perception.
In this report it Tesla Plc, is taken. It is an American electric vehicles and company of
clean energy which have their headquartered in Palo Alto, California. This industry is mainly
deals in automotive, energy production, energy storage sector which served area worldwide. The
products which is provide by company are batteries, electric vehicles, solar roofs and panel.
In this report it covers concepts of segmentation, positioning and targeting of product by
innovation of new products which provide research of needs of customers. In addition it also
includes marketing strategies and techniques for designing sales and marketing strategies of
organisation. Furthermore, there is a evaluation of role of data for improving relationship with
customers by identifying their needs and wants.
MAIN BODY
Concept of segmentation, targeting and positioning for product or services.
Tesla Plc, is an automotive company which deals in electric vehicles, solar panels,
batteries and so on. Now company have to start a new innovation in their products or cars such
as by using hand sensors for security in their cars. So for promote their services manager of
organisation use strategic approach of STP model in modern marketing. This model is useful for
creating communication in marketing plans which helps marketing manager for prioritise
propositions and after this they have to develop and deliver relevant personalised plans for
engage within different audiences (Lee and et. al., 2018). This model focuses on effectiveness in
commercial and also most valuable segments in addition for develop marketing mix strategy for
each segment. Below is the description of STP model:
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Segmentation: This is first step in STP marketing model which have main goal for
create many customer segment which is based on certain traits and criteria which have been
consider. There are four major types of segmentation which are discussed below: Geographic: This segment mainly includes customers which are based on state, region,
province, country and so on. Demographic: In this segment, audiences are divide on based of gender, education,
occupation, age and so on. Behavioural: This mainly includes dividing the customers on bases of their interact with
business, interest, attitude etc.
 Psycho-graphic: In this it mainly includes customer segment as what are there hobbies,
activities, opinions, lifestyle etc.
In terms of Tesla Plc, when there is innovation of new product in their services such as
hand sensors in their cars. Managers of this organisation use behavioural segmentation tool for
attract potential customers for their products. As company deals in high range of cars so they
mostly attracts the interest, attitude of high class people.
Targeting: This is second step in STP model which have main motive to look on
segments which are taken by company and after this determine which of these segments are
helpful for generate desired conversions for company (Dent and White, 2018). There are many
types of targets which is discussed below: Size: In this there is consideration of segment which have future potential of growth. This
mainly includes size of project or plan which have future growth for their business. Profitability: In this sector, company may includes segments which are willing to spend
more money on product or services which is given by organisation. So manager have to
determine lifetime value for customers for each segment.
 Reachability: In this, company targets the customers which have direct reach of products
in each market segment. For this manager have to consider customer acquisition cost for
each market segment. When there is higher CAC leads to lower profitability.
In terms of Tesla Plc, with innovation in their cars they mainly targets high income size
of people which provide customers as high profitability. So for this manager of company targets
these individual with help many promotional tools for reach all income group in easiest manner.
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