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Mass Marketing Vs. Segmentation. Saturn’s target market is college educated, men and women ages 25-49. The benefits that they are looking for are: safety, utility, and value This does not make Saturn’s target market very homogeneous More than one price, however, Single promotion

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mass marketing vs segmentation
Mass Marketing Vs. Segmentation
  • Saturn’s target market is college educated, men and women ages 25-49.
  • The benefits that they are looking for are:
    • safety, utility, and value
  • This does not make Saturn’s target market very homogeneous
    • More than one price, however,
    • Single promotion
    • One distribution system
market segmentation
Market Segmentation
  • State of Being (demographics)
    • Age: 25-49
    • Gender: male & female
    • Education: College
  • State of Mind
    • American can do attitude
    • American made
    • Common people
market segment
Market Segment
  • Benefits sought
    • transportation
    • social reasons - gas conservation
  • This is where a product buyer matrix comes into play.
segment approaches
Segment Approaches
  • Saturn
    • Not niche marketer
      • subcompact was very competitive
    • customized marketing
      • product varies slightly
    • Multi segment option
      • coupe, sedan, electric car, station wagon
product decisions
Product Decisions
  • Saturn is a combination of not just the product, but the service, ideas, and people
  • Saturn offered only 4 models when it started
  • Lost focus on meeting the needs of the customer
introduction of product
Introduction of Product
  • How did Saturn enter the market?
    • Improvements or changes in the existing products
pricing
Pricing
  • Saturn
    • tries to reduce customer time, effort, risk and opportunity cost with no-haggle pricing, quality product, great value
    • efficiency in operations such as eliminating defects also contributes to price
promotion decisions
Promotion Decisions
  • Saturn's benefits: value, utility, quality must be conveyed to the target market
  • Because of the complexity of selling cars and their margin more direct sales approach must be used
  • Awareness: TV ad
  • Interest: direct mailer
  • Desire and action: personal sell.
saturn s promotions
Saturn’s Promotions
  • Consistent message: “A different kind of company. A different kind of car.”
  • Straight-talk
saturn s distribution
Saturn’s Distribution
  • Distribution represented 30-35% of a car’s costs
  • Saturn offered an exclusive distribution agreement.
  • Why did they offer exclusive distribution and not the other 2 methods?
differentiation
Differentiation
  • Product descriptors = quality
  • Customer support = strong customer support
  • Image = A different car.
saturn s positioning strategy
Saturn’s Positioning Strategy
  • What is Saturn’s Current Positioning Strategy?