Personas, market sizing and segmentation

Personas, Market Sizing and Segmentation

Pavan Soni

Innovation Evangelist and Researcher

[email protected]

www.pavansoni.com

Topics covered

• Innovation starts with Discovery

• Consumer versus customers

• Segmentation, targeting, and positioning

• Market research techniques

• Product targeting and positioning

• Conjoint analysis

• Buyer personas

Innovation starts with ‘Discovery’

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Marketing: Broad perspective

4Source: Brian K. McCarthy

Segmentation Targeting Positioning

5Source: http://www.consumerpsychologist.com/cb_Segmentation.html

Customer segmentation logic

Dividing market into specific homogenous clusters

✓Name (indicative of objective)

✓Needs/ wants (wish to address)

✓Characteristics (demographics/ geographic)

✓Value proposition offered (for your customer)

✓Goals (for your firm)

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▪ Demographics (age, race, religion, gender, family size, ethnicity, income, education level),

▪ Geography (where they live and work),

▪ Psychographic (social class, lifestyle and personality characteristics) and

▪ Behavioral (spending, consumption, usage and desired benefits

Market research techniques

7Source: http://www.mymarketresearchmethods.com/an-overview-of-market-research-methods/

Cluster analysis

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Conjoint analysis (for New Product Development)

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Conjoint analysis aims to find the optimum positioning between low-price-low-quality and high-price-high-quality in terms of price and features by quantifying the trade-offs and compromises customers take in decision making.

Conjoint analysis in action

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Competitive Positioning:

Why you can’t be

everything?

Source: Porter (1980)

The three levers

Buyer personas Buyer personas are fictional, generalized representations of your ideal customers.

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✓Demographics✓Roles and positions✓Day in life scenario✓Pain points✓Values and goals✓Information sources ✓Expected experience ✓Overcoming

objections/ queries

NameJob TitleCompany SizeRole

Demographics• Age:•Gender:• Salary:• Location:• Education:• Family:

Goals & Challenges• Primary Goal:• Secondary Goal:• How We Help:• Primary Challenge:• Secondary Challenge:• How We Help:

Values & Fears• Primary Values:• Primary Fears of Doing Business With You:• How We Help:• Primary Challenge:• Secondary Challenge:• How We Help:

Hobbies/Interests•Hobby:•Hobby:• Interest:• Interest:

Source: https://crazyeyemarketing.com/blog/how-to-develop-a-marketing-persona-when-you-dont-know-where-to-start/

Buyer personas (template)

In a B2B context (product design)Elements of personas

• Persona Group (i.e. web manager)

• Fictional name

• Job titles and major responsibilities

• Demographics such as age, education, ethnicity, and family status

• The goals and tasks they are trying to complete using the site

• Their physical, social, and technological environment

• A quote that sums up what matters most to the persona as it relates to your site

• Casual pictures representing that user group

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Exercise (create personas)

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Zoho- Customer personas

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OYO Rooms- Customer personas

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References (1/2)

• How to Create Detailed Buyer Personas for Your Business• The Complete, Actionable Guide to Marketing Personas• Building Perfect Personas• Creating personas• Customer Segmentation & Why it Matters• Segmentation, Targeting, and Positioning• Segmentation strategies • An Overview of Market Research Methods• Primer on Conjoint analysis• Software of Conjoint Analysis

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References (2/2)

• Market Research Techniques

• Marketing: Segmentation and Targeting (Video)

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