Strategic Framework for Customer Segmentation and Value PPT


This PPT slide, part of the 47-slide Customer Segmentation PowerPoint presentation, focuses on customer segmentation, outlining essential requirements and methodologies for effective segmentation and value proposition development. It begins with a section on "Segmentation Requirements," detailing 4 key criteria: meaningful differentiation among segments, adherence to the MECE principle, measurable market share, and substantial volume for analysis. Each criterion emphasizes the necessity of defining segments in a way that allows for actionable insights and strategic planning.

The "Value Proposition Development" area illustrates how to tailor offerings across 3 dimensions: product, service, and distribution. It highlights specific elements to consider, such as features, pricing, and delivery channels, which are crucial for optimizing resources and enhancing market share within target segments. This section underscores the importance of aligning capabilities with customer needs to create compelling value propositions.

The "Target Segment Selection Matrix" provides a visual framework for assessing segment attractiveness against the organization's ability to serve those segments. It categorizes segments into 4 quadrants, guiding decision-makers on whether to develop capabilities, target, avoid, or adjust propositions based on their attractiveness and the organization's strengths.

Lastly, the "Profit Potential Quantification" section outlines a systematic approach to determine profit potential. It breaks down the process into calculating revenue increases and costs to serve, distinguishing between current and new customers. This structured methodology enables executives to make informed decisions about resource allocation and strategic focus.

Overall, the slide serves as a comprehensive guide for organizations looking to refine their customer segmentation strategies and enhance their market positioning.




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Customer Segmentation Strategic Planning Value Proposition Positioning

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