Join / Sign In
< Back to questions :: Q&A / B2B / Business and Industry Services

STP and its importance

B2B
Business and Industry Services
From Armenia
To Canada
25 views / 0 experts
Sep 25, 2020
What is STP? Why is it important for business?

1 answer

Andrea T.
Not rated
Sep 25, 2020

STP stands for Segmentation , Targeting and Positioning. STP plays an important role to get to your right customer. All three (segmentation, targeting and positioning) are tools to align your products with the right customers. 

  • Segmentation : Classifying your customers on some basis like demographically, behaviour, geographically etc.
  • Targeting: Marketing to a particular segment of the market/group of customers
  • Positioning : Basically it means building a brand image in the mind of the customer Here are the reasons why it is important for business:
  1. Segmentation splits buyers into groups with similar needs and wants to "best utilize a firm's finite resources" through buyer based marketing.
  2. Attract the right customer.
  3. Reduce risk in deciding where, when, how, and to whom a product will be marketed.
  4. Increase marketing efficiency by directing effort specifically toward the designated segment in a manner consistent with that segment's characteristics
  5. Helps in customer retention.
  6. Customer delight.
  7. Reduce the cost of the company by not marketing the product where its not required.
read more
No comm.

Top Rated Experts

Ashwin Kamath
Ashwin K.
Robert Lockett
Robert L.
Stephanie Duong
Stephanie D.
This website uses cookies. By using this website, you consent to our use of these cookies