Customer Satisfaction, Market Segmentation and Marketing Planning
Customer Satisfaction
Customer satisfaction is the key to the success of a company. To ensure success, it is important to understand customer’s needs and wants; create a differential advantage and translate this understanding and the advantage into a continuing relationship with the customers. Market segmentation is an important part of marketing planning for much finer targeting efforts. Market segmentation enables a company, big or small to gain a better understanding of its customers or customer groups. This makes possible the development of appropriate marketing planning strategy which best suits the different groups of customers.
Market Segmentation
Market segmentation is defined as a process of splitting customers, or potential customers, within a market into different groups, or segments with which customers have the same or similar requirements satisfied by a distinct marketing mix. It is about understanding the requirements of customers and how they decide between one offer and another. The primary objection of segmentation is therefore, “How to win and retain the customers you want to serve”. From a customer’s view of segmentation is “Meet my needs”.
Marketing Planning
Marketing planning is a logical sequence of steps which enables an enterprise or company to set strategic planning objectives for their selected segments and formulate the appropriate sales and marketing activities in order to achieve those objectives. In essence it is a process for determining what the company can become and how it can achieve that goal. Focus should be on segmenting markets and customers, what markets and customers are looking for. This calls for research, carrying out a SWOT analysis, and a thorough appreciation of the needs of the markets, establishing plans on how these needs can be addressed through a planned process, and effectively using a marketing structure and organizational resources.