How to create a guaranteed STP marketing strategy with an amazing model

How to create a guaranteed STP marketing strategy with an amazing model

Creating a guaranteed STP (Segmentation, Targeting, and Positioning) marketing strategy is essential for businesses to effectively target and reach their customers. STP marketing helps businesses identify and understand their target market, and tailor their messages and offerings. By following a systematic approach, businesses can develop a marketing strategy that guarantees results and maximizes their marketing efforts. This may involve identifying distinct market segments, selecting the most suitable target audience, and positioning their products or services in a way that sets them apart from competitors. Additionally, considering market research, customer feedback, and ongoing evaluation can help ensure the effectiveness and success of the STP marketing strategy. With a guaranteed STP approach, businesses can enhance their marketing efforts and achieve their desired outcomes to increase sales and reduce costs.

How may STP marketing be used?

You may locate niches with particular demands through segmentation, and mature marketplaces to find new customers and provide more targeted and powerful marketing messages.

Typical methods for customer segmentation include:

1- Demographics:

Any combination of the following factors may be used to segment the population: age, gender, income, education, ethnicity, marital status, family size, length of residency, type of residence, or even profession/occupation. Performing further demographic research might help you find novel marketing ideas and inspire you to think beyond the box.

2- Lifestyle:

This includes hobbies, entertainment, vacations, and other activities that one engages in outside of work. Some other hobbies, like football fans, are popular and well-established, making them very simple to target. However, some companies have had enormous success by efficiently focusing on extremely limited areas.

3- Life stages:

The chronological benchmarking of people’s lives at various phases is known as life stages. Such as retired people and who are 50 or older or other senior citizens.

4- Psychometrics:

This includes “personality and emotions” based on behavior, linked to buying decisions, encompassing attitudes, lifestyle, interests, risk aversion, personality, and leadership qualities. TV and reading mags. The ‘who’ of your buyer is revealed by demographics, but the ‘why’ of their purchases is shown by psychographics.

You can collect information about your typical clients’ psychographic profiles in a few different methods;

  • Customer information: If you are an FMCG brand or an e-commerce company, you may have information on the types of products that your customers frequently buy from you. Utilizing this information, you can learn more about the kinds of things your consumers are interested in and what is most likely to convince them to make a purchase.
  • Interviews: Speak with a few individuals who broadly represent your target audience. You can collect insightful qualitative data from in-depth interviews to truly grasp what makes your consumers tick. They can be costly and challenging to run, and because of the tiny sample size, they might not necessarily be representative of the audience you are attempting to reach.
  • Surveys: You can reach more individuals with surveys than with interviews, but it may be more difficult to elicit thoughtful responses.

5- Values and beliefs:

Refers to cultural, nationalistic, political, and religious beliefs and ideals.

In most Islamic countries and sometimes in Europe and Asia, there are many Islamic banks that provide banking services that adhere to Sharia law and satisfy particular religious standards.

You might not have expected, but Mormons are particularly into “multi-level marketing,” which is an odd but fascinating example of how religious demographics affect marketing. They are much more likely than any other US group to be involved in the practice.

6- Behavior:

relates to the type of purchase, brand loyalty, amount of usage, benefits sought, channels of distribution utilized, and response to marketing elements.

In a B2B setting, advantages are frequently sought in terms of “how soon can it be delivered?” This includes the “last-minute” sector—the segment that plans ahead.

Here are the steps to create a guaranteed STP marketing strategy:

1- Define the market:

Even the largest firm with the most resources will not be able to adequately handle the global market because it is too large and diverse. It’s crucial to divide it into manageable pieces and choose the specific area you want to focus on. This will help to increase sales and reduce costs.

Typically, you need to identify your TAM, SAM, and SOM: Total Available Market, Serviceable Available Market, and Serviceable Obtainable Market in order to assess your business opportunity.

When defining a market, you have a number of options. This is possible by:

  • Classification of industries (agricultural, retail, transportation, etc.
  • Product type (clothing, cosmetics and toiletries, food and beverages, etc.)
  • Country (e.g., the United States, the United Kingdom)

2- Segment your market:

Your business, item, or brand cannot satisfy everyone’s needs. Therefore, separate your consumer base into groups of people that share common traits and wants via market segmentation. This gives you a significant advantage over rivals who adopt a “one size fits all” strategy by enabling you to successfully adjust your approach to meet the demands of each group.

3- Target your best clients:

One of the common STP marketing is to choose which market segments to focus on by determining which group will provide the highest return and be the most profitable.

4- Create segment profiles:

The moment has come to create segment profiles once you have identified your feasible market segments. Segment profiles are in-depth descriptions of the people in each segment and are very similar to your ideal customer personas, but they serve as subsets of your main persona instead.

Indicate your target audience’s requirements, actions, demographics, brand preferences, shopping tendencies, marital status, and any other factors. To provide you and your company with a thorough idea of the potential clients within each sector, each profile should be as thorough as possible. You can compare portions in this way for tactical considerations.

5- Evaluate each segment's commercial viability:

To empower your segmentation targeting and positioning (STP), you can determine which of your created segments will yield the most return on investment (ROI) by comparing your results with relevant market information and consumer research. Segment size, growth rates, price sensitivity, and brand loyalty are some things to take into account.

With this knowledge, you’ll be able to assess each segment’s overall attractiveness in terms of dollar worth.

6- Construct a positioning strategy:

The next step is to create a positioning plan that will offer you a competitive edge in the chosen target market. Consider other competitors as you decide how best to position your product; pay particular attention to how your positioning can capture the maximum possible share of the market.

Conclusion:

Creating a guaranteed STP (Segment, Target, and Position) marketing strategy is not a straightforward task. While there are various techniques and methodologies available to segment, target, and position products or services effectively, there is no guarantee of success. Strategy-making involves a certain level of uncertainty and risk, which boards and regulators need to acknowledge. It is important to make the logic explicit and conduct market research to gain insights into customer behavior patterns and preferences. Additionally, a well-developed marketing plan, including action programs and budgets, can provide a roadmap for implementing the STP strategy. However, it is essential to remember that marketing research and planning do not guarantee success; they are tools to inform decision-making and increase the likelihood of achieving marketing objectives. Ultimately, businesses should approach STP marketing strategy with careful consideration, adaptability, and continuous evaluation to maximize their chances of success.


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