Segmentation, Targeting and Positioning (STP) Strategy (Essay Sample)

ENTREPRENEURIAL MARKETING
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Entrepreneurial Marketing
Segmentation, Targeting and Positioning (STP) Strategy
The starting point for the STP strategy will be the segmentation phase. During segmentation, the key goal is to create different customers segments on the basis of specific traits and criteria. The four major kinds of market segmentation include psychographic, demographic, geographic, and behavioral segmentation (Wright 2020). Behavioral segmentation will be appropriate for this venture, where the market will be segmented with respect to individual purchasing behaviors. Behavioral segmentation is highly related to the benefits expected to be derived from a product, with identification of particular buying behaviors, in regard to purchases’ volumes and shopping frequency (Camilleri 2018). For instance, the customers’ management system may include profiles of regular customers and could show valuable information regarding their previous transactions. A poorly managed business venture could affect the number of return customers. Moreover, it can lose its credibility among potential customers who could have interacted with disappointed customers.
At the targeting stage, the key goal is to evaluate the segments and determine the one likely to create desired conversions. The behavioral segment has low acquisition cost, has higher profitability, and it is growing fast. Besides, customer-based positioning should entail aligning the products offered will target customers’ behavioral parameters (Wright 2020). The targeting and positioning (STP) strategy will entail ignoring any differences that exist in the target market by utilizing an undifferentiated marketing plan. Thus, this strategy will entail approaching customers with a single market offering (Camilleri 2018). This will bring uniformity and create an identity to products offered in the various Health-IX stores.
Appropriate Brand Name, Logo, and Slogan
Creating branded components aimed at appealing to the customers will help create a harmonious brand identity and improve its recognition by consumers. Consequently, this will lead to lasting and strong brand loyalty for years (Tow 2019). The proposed brand name is Health-IX. Health-IX is a short brand name that can be easily said and remembered. In addition, the brand name will make it popular and give consumers a perception of the products on offer. These stores will focus on stocking healthy groceries, vegetables, fruits, and frozen meatballs, which will be free from harmful chemicals capable of harming consumers’ health. Stock for groceries, vegetables, and fruits will be obtained from organically grown sources, while no chemicals will be added to frozen meatballs.
A logo ought to recognizable just like a brand name because images are normally remembered easily than words (Tow 2019). Therefore, a wordmark should be skillfully created using branded colors and fonts. Besides, the logo will be derived from the Health-IX brand name. Such a logo will ensure that the brand has a clever and dynamic visual representation, which will enable the market to recognize it. Examples of great and creative wordmarks include FedEx and Google. On the other hand, the slogan is easy to pronounce, memorable, and match the brand’s personality (Tow 2019). Thus, the slogan will be, “Health is wealth, choose wealth at Health-IX”. Health-IX will advocate for healthy eating and provide high-quality and customer-centered products. The slogan will withstand the brand’s evolution for years and will matches what the brand stands for as well as how consumers perceive it.
Promotion Mix Strategy
Public Relations and Publicity
Public relations will encompass mass communication. Although public relations will not be a paid technique of communication, it will have some indirect costs. Moreover, it will entail getting favorable responses from consumers by creating commercially important news using mass media. Additionally, public relations will involve the maintenance of constructive relations with suppliers, middlemen, customers, and the large interested public (Shivendra n.d.). It will also include promotion of the new Health-IX to highlight products offered, build its image, and increase sales, with close attention to customers’ satisfaction. The promotional mix will also include evaluating the public attitudes, identifying issues that concern the public, and executing programs in order to achieve public acceptance (Samat 2019). In addition, Health-IX will utilize social media platforms to publicize its high-quality and healthy products.
Guerilla Marketing Campaign
Guerilla marketing can be regarded as an alternative to conventional marketing methods. It a low-cost method of advertising that uses unpaid avenues by designing an unconventional campaign, causi