Market segmentation, targeting, differentiation, and positioning In order to create an effective customer-driven marketing strategy, you need to implement the following steps: Market segmentation, targeting, differentiation, and positioning. The first step in designing a customer-driven marketing strategy is dividing the market into relative customer groups, which in marketing term is called market segmentation.
After dividing the market into several groups, the next step is choosing which among the following groups that have been created are best to serve (targeting). You then need to devise appropriate marketing offers and promotions according to the groups that have been selected (differentiation). Lastly, you need to condition the minds of the selected customer groups on the offers and promotions that have been created (positioning).