COURSE OVERVIEW:

Companies and organisations buy products and services to support production of their goods and services, indirectly or directly. Selling goods and services to these companies requires you to have strategies in order to make the best out of B2B marketing as a vendor. Various strategies exist; with one of the most effective ones being market segmentation.

Market segmentation refers to the division of the target market into discrete groups depending on similar requirements for a service or a product. Each segment differs from the other one in terms of individual needs and the purchasing behaviour. This is why you find that you can’t achieve the same success within all segments.

Business markets are segmented differently than consumer markets. Business markets may segment based on geography, volume, and benefits, just as consumer markets are.

Organisations segment based on use of the product (such as a petrochemical company having one market segment for purchasers who use polyethylene for instrumentation panels and one for purchasers who use polyethylene for car seats), characteristics of purchasing function (such as purchasing committees, purchasing managers, or purchasing departments), size of the client (one segment for large customers who have different needs than smaller customers), or industry (such as segmenting food systems into restaurants or government agencies such as schools or military bases), as well as other considerations related to characteristics of business customers.

This course explains the B2B market segmentation it detail. Part 1 discusses decision making in B2B organisations. Part 2 discusses the business-to-business segmentation. Part 3 discusses the segmentation methods in business-to-business markets. Part 4 discusses the market segmentation process.

By the end of this course you should be able to:

1. Identify and analyse all the factors involved in the process of decision-making, including the decision-making unit, the decision-making process and the decision-making difficulty.
2. Define business-to-business market segmentation and be able to evaluate the reasons behind this need for selling companies to analyse and classify organisations and markets.
3. Identify and evaluate the ways in which business markets can be segmented and be able to describe why methods used are different from those in consumer markets.
4. Examine the reasons behind segment selection and describe how products and services can be positioned and targeted to meet identified segment selection criteria.

LEARNING OUTCOMES:

By the end of this course, you will be able to understand:

• The benefits of market segmentation
• Decision making in B2B organisations
• The purchase function
• The cultural influences on the buying process
• How the buying procedures and policies could be different?
• The centralised and decentralised buying
• The single or multi-source suppliers
• The advantages of single sourcing and multi-sourcing
• The decision-making unit (DMU) in B2B and B2C markets
• The factors influencing the DMU or buying centre
• The vertical and horizontal decision making
• Group and individual influences on decision making
• The sources of buyer perceived risk
• The B2B decision-making process (DMP)
• DMP in B2B and B2C markets
• The buying decision difficulty (BDD) in B2B and B2C markets
• The straightforward and modified rebuy
• The buying process in B2C and B2B markets
• Business-to-business segmentation
• The strategic importance of segmentation
• The segmentation of existing B2B markets
• The segmentation of new B2B markets
• The segmentation of different B2B markets
• Why segment business-to-business markets?
• The basis for segmentation
• Segmentation in B2C markets
• Segmentation in consumer markets
• The segmentation methods in business-to-business markets
• The macro segmentation process
• The industrial and/or consumer markets
• The geographical segmentation in B2B and B2C markets
• Segmentation by the service industries
• Segmentation by public, private or not-for-profit sectors
• Segmentation by small, medium or large company
• Segmentation by products and services offered
• The practice of macro segmentation
• Micro segmentation
• Segmenting B2B by organisation buying behaviour
• Segmenting by group and individual buying behaviour
• The intellectual, emotional and instinctive influences on B2B markets
• The changing importance of segmentation factors
• The criteria for market segmentation
• The conjoint analysis
• The market segmentation process
• How to identify the basis for market segmentation?
• How to determine the important characteristics of each segment?
• How to evaluate the market attractiveness of each segment?
• The market segment attractiveness
• The market segment company profile
• The B2B corporate/product positioning
• How to develop a marketing mix strategy for each targeted segment?
• The power of the buyer and supplier in marketing mix strategy selection
• How to implement a segmentation strategy?

COURSE DURATION:

The typical duration of this course is approximately 2-3 hours to complete. Your enrolment is Valid for 12 Months. Start anytime and study at your own pace.

COURSE REQUIREMENTS:

You must have access to a computer or any mobile device with Adobe Acrobat Reader (free PDF Viewer) installed, to complete this course.

COURSE DELIVERY:

Purchase and download course content.

ASSESSMENT:

A simple 10-question true or false quiz with Unlimited Submission Attempts.

CERTIFICATION:

Upon course completion, you will receive a customised digital “Certificate of Completion”.