Manag., January-2017-Q22
- Option : A
- Explanation : An undifferentiated marketing strategy is mostly used in mass marketing, treating the entire market as one segment. This involves the same marketing mix being directed to cover the entire market. However, as incomes have increased and competition intensified the need to target market segments has risen. This involves a differentiated marketing strategy, by which the market is split into segments to target sales by catering for groups of consumers. For example, a leisure centre might use different strategies to target families with children and the elderly using separate marketing mixes.
Differentiated marketing offers a degree of product variability, and differentiation intensifies as the product matures and the increase in sales slows down. A concentrated marketing strategy is seen as the final stage in the development of marketing coverage strategies, in which the marketing mix is targeted on a narrow segment of customers known as a niche.
