Market targeting
Market targeting selects the customer segments an organisation intends to serve. It follows analysis of needs, attractiveness, competition and the organisation’s capability to provide a viable offer. The choice guides positioning and the marketing mix rather than simply choosing where to place advertisements. An organisation can target several segments with differentiated offers if it can manage the resulting costs and complexity.
Worked example
A service provider chooses to focus on small businesses needing predictable turnaround rather than customers seeking the widest range of bespoke features. It designs the offer and delivery model accordingly.
Common mistake
Do not confuse identifying segments with deciding which ones to serve, or choose a target only because its total size is large.
Where it appears in your exams
| Qualification | Exam | Relationship | Period |
|---|---|---|---|
| ACCA | BT | Supporting | September 2026–June 2027 |
| ACCA | SBL | Direct | September 2026–June 2027 |
| FIA | FBT | Supporting | September 2026–June 2027 |