How to use Segmentation, Targeting, and Positioning (STP) to develop marketing strategies
Today, the STP marketing model (Segmentation, Targeting, Positioning) is a familiar strategic approach in modern marketing. It is one of the most commonly applied marketing models in practice, with marketing leaders crediting it for efficient, streamlined communications practice.
STP marketing focuses on commercial effectiveness, selecting the most valuable segments for a business and then developing a marketing mix and product positioning strategy for each segment.
As Martech continues to develop, so do opportunities for segmentation, targeting, and positioning. So whether you're brand new to STP or a seasoned veteran, it can be useful to take stock and double-check you're utilizing every chance you get to reach, interact with, convert and engage customers.
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Simon Sinek explains how to use the Golden Circle model to truly differentiate your brand's value proposition when most fail
Leadership expert Simon Sinek is perhaps best known for giving one of the most popular TED talks of all time, which you can view at the end of this post. The Golden Circle theory explains how leaders can inspire cooperation, trust and change in a business based on his research into how the most successful organizations think, act and communicate if they start with why.
I think that marketers will find the most value in his Golden Circle model, which helps give focus to how a business can stand out from similar competitors by communicating its differences. I was prompted to check it out after a workshop when discussing the importance of developing a strong digital value proposition as part of a digital marketing strategy a few years ago.…
Learning from 6 layered targeting options used by online retailers that can be applied to any business
There are many different levels in sophistication of targeting for email marketing. In this post I'll run through some of the most common examples used by retailers since I think they can often be applied to companies who don't sell online like relationship-building or B2B companies.
Here, I will outline what I see as the 6 most common segmentation approaches. More details are available in my book Total Email Marketing and my more recent 7 Steps to Email Marketing Success Ebook on Smart Insights.
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Customers have similar traits but are not all alike and should not be spoken to with a single message in the same manner and tone. This was initially looked at in an earlier article ‘Talk to your customers or talk to your customer?’, but once the need to communicate with and not at all your customers is understood, providing different messages/offer/content using surface level details is a tempting approach, for example splitting the message by gender and/or age group.
This approach assumes that the surface level details represent the best groups of customers which will not always be the case. Looking at the sand in the first image at first glance all the grains seems to be identical with some obvious differences becoming apparent when a more detailed…
Creating more relevant personalised communications
Receiving messages from a company you have never spoken to can be annoying and intrusive at best, often referred to as spam. Therefore, gaining permission to speak is a critical element in building a relationship with your customers, but using this right to broadcast the same communication to all customers will eventually turn your message to “noise”. Having a conversation is not a one way speech, but an interactive communication which listens and speaks to, not at the customer.
Within the travel and tourism industry the need to provide the personal touch is a key differentiator of single and smaller hotel chains, with the service and attention to detail making the experience memorable and distinctive. This unique and distinguishing service is often carried across to the digital world, with some very elegant, evocative images and…