This PPT slide, part of the 47-slide Customer Segmentation PowerPoint presentation, outlines key components of customer segmentation, focusing on the requirements for effective segmentation and the development of value propositions tailored to specific segments. It emphasizes that segments must be meaningful, ensuring distinct differences among them. The MECE principle is highlighted, indicating that each customer should fit into one segment only. Measurability is crucial, necessitating clear definitions of market share for quantification purposes. Substantiality is also stressed, as segments need sufficient volume to warrant analysis. Lastly, the actionable aspect indicates that a tailored value proposition must be designed for each segment.
The slide also introduces a Target Segment Selection Matrix, which categorizes segments based on their attractiveness and the company's ability to serve them. Segments are plotted on a grid, with high attractiveness and high capability indicating a focus on developing capabilities to serve that segment. Conversely, segments that are less attractive or where the company lacks differentiated capabilities should either be avoided or adjusted to improve their appeal.
In the Value Proposition Development section, the slide breaks down the components into product, service, and distribution. Each component includes specific considerations, such as features and pricing for products, service stages, and distribution channels. The goal is to leverage strengths and optimize resources to enhance market share in target segments.
The Profit Potential Quantification section suggests a structured approach to determining profit potential, categorizing customers into existing and new, which aids in strategic decision-making. Overall, this slide serves as a comprehensive guide for executives looking to refine their customer segmentation strategies and enhance their market positioning.
This slide is part of the Customer Segmentation PowerPoint presentation.
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