|
|
To determine whether a strategy of undifferentiated, differentiated or concentrated marketing for a product such as rubber gloves would make more sense, the manufacturer would have to look at the market for rubber gloves and distinguish what their needs and wants may possibly be. Undifferentiated marketing is a ‘market-coverage strategy in which a company might decide to ignore market segment differences and go after the whole market with one market offer’. (Kotler, Brown, Adam and Armstrong, 2001, p.306) Rather than focusing on what is different in the customers’ needs and wants, this strategy concentrates on what is common with other competing products. Undifferentiated marketing is somewhat similar to Mass marketing. ‘In mass marketing the seller mass produces, mass distributes and mass promotes one product to all buyers’. (Kotler et al., 2001, p. 292) For example, a manufacturer of a car business produces a new model that only comes in one colour that he thinks is common and popular. This strategy keeps costs low and production easier and faster. Differentiated Marketing is a ‘market-coverage strategy in which a company decides to target several market segments and designs separate offers for each’. (Kotler et al., 2001, p. 307) This strategy focuses on offering product and market variation to meet different needs and wants of the consumers. For example, a manufacturer of a car business produces a new model that comes with many different options to meet the demand of its customers (i.e. choice of colour of car, sunroof, spoiler, manual/automatic etc). This strategy can make costs significantly higher than undifferentiated marketing and production time a bit harder and slower. Concentrated Marketing is a ‘market-coverage strategy in which a company goes after a large share of one or a few submarkets’. (Kotler et al., 2001, p. 308) This strategy focuses on targeting a specific market and offering a product to suit all their needs and wants. For example, a manufacturer of a car business produces a new model to meet the needs and wants to a family of six or more people.
|
