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Marketing
Date
Nov 24, 2024
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docx
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Uploaded by Buinga1998
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Introduction
Segmenting, targeting, and positioning (STP) are essential marketing concepts that help
businesses to define their target market, create a unique selling proposition (USP), and develop a
go-to-market (GTM) strategy for their product or service. In this essay, we will apply STP
knowledge to create a GTM strategy for a residential cleaning company. We will begin by
identifying the essential value of the offering and then move on to segmenting the target market,
positioning the brand, and creating a marketing mix that resonates with the target audience.
Essential Value of Residential Cleaning Services
The essential value of residential cleaning services is to provide a clean and organized
living environment for homeowners who lack the time or energy to do it themselves. In addition
to improving the aesthetic appeal of a home, a clean-living climate is also essential for
maintaining good health and hygiene. Research has shown that a clean house can reduce stress,
allergies, and the risk of contracting infectious diseases (Sherman et al., 2018). Consequently, a
residential cleaning company's core value proposition is to provide a cleaning service that
exceeds customers' expectations.
Segmenting the Target Market
Markets may be segmented by identifying and separating subsets of customers with
common traits and preferences (Liu et al.,2019). The target market for a residential keeping
service may be broken down as follows.
Demographic - Age, income, occupation, family size, and education level are key
demographic variables that can be used to segment the market (Leisch, Dolnicar & Grün, 2018).
For instance, a residential cleaning company may target middle-aged homeowners with high
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incomes and busy lifestyles who value their time and are willing to pay for a premium cleaning
service.
Psychographic- This requires segmenting the market according to lifestyle, personality
attributes, beliefs, and attitudes (Leisch, Dolnicar & Grün, 2018). For example, a residential
cleaning company may target environmentally conscious homeowners who prefer eco-friendly
cleaning products and practices.
Geographic- This requires segmenting the market by geographic location (Leisch,
Dolnicar, and Grün, 2018). A residential cleaning service may target residents in a particular city
or area.
Positioning the Brand
Positioning refers to developing a distinct and appealing brand image in the eyes of the
target market (Fayvishenko, 2018). A residential hold cleaning business might position itself in a
variety of ways, including:
Quality - A residential cleaning company can position itself as a premium brand worth
the investment by focusing on providing high-quality cleaning services that meet or exceed
homeowners' expectations.
Convenience - A residential cleaning company can position itself as a hassle-free solution
for busy homeowners by offering flexible scheduling, online booking, and other convenient
features.
Trustworthiness - By employing trustworthy and reliable cleaners, conducting
background checks, and providing insurance coverage, a residential cleaning company can
position itself as a safe and trustworthy choice for homeowners.
Creating a Marketing Mix
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A company's marketing efforts are comprised of various strategies, or "mix," to reach its
desired demographic (Thabit & Raewf, 2018). Product, pricing, placement, and promotion
comprise the marketing mix's four pillars. Here is how the marketing mix may be modified for a
residential cleaning service:
Product - The primary product of a residential cleaning company is the cleaning service
itself. However, the company can also offer additional services such as organizing, laundry, and
deep cleaning to add value and differentiate itself from competitors.
Price - Pricing is an essential factor in the residential cleaning industry. A residential
cleaning company can offer tiered pricing plans based on the level of service, cleaning
frequency, and home size. By offering competitive pricing that reflects the quality of the service,
a residential cleaning company can attract and retain customers.
Place means getting a product or service out to a particular consumer base. A residential
cleaning company can offer online and offline booking and payment channels. For instance, the
company can create a user-friendly website where customers can easily book and pay for their
cleaning services. The company can also offer offline channels such as phone and email booking
options to cater to customers who prefer to book their cleaning services offline.
Promotion - refers to the activities used to communicate the value proposition of the
product or service to the target market. A residential cleaning company can use online and
offline promotional activities to reach its target audience. For instance, the business may
advertise its cleaning services and interact with its target market on social media sites like
Facebook, Instagram, and Twitter. Flyers, billboards, and print adverts are all practical offline
promotional tools that the firm may employ to reach its target audience of homes.
Conclusion
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Ultimately, STP is a crucial marketing concept that aids companies in identifying their
ideal customers, developing their product's USP, and planning their product's rollout in the
marketplace. We have applied STP principles to a domestic cleaning service, resulting in a
refined understanding of the offering's core value, a more refined understanding of the target
market, a more refined understanding of how to position the brand, and a marketing mix that will
connect with that market. Homeowners who don't have the time or energy to clean their homes
themselves might benefit significantly from hiring a professional cleaning service. The firm may
better appeal to its intended consumers by dividing the market into several subsets based on
demographic, psychographic, and geographical characteristics. The firm may develop a
competitive advantage by differentiating itself from the competition by establishing its brand as a
high-quality, convenient, and trustworthy option. Lastly, the firm may advertise its cleaning
services to its target market and accomplish its business goals by developing a marketing mix
that comprises product, price, location, and promotion.
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REFERENCES
Fayvishenko, D. (2018). Formation of brand positioning strategy. Baltic Journal of Economic Studies, 4(2), 245-248.
Leisch, F., Dolnicar, S., & Grün, B. (2018). Market segmentation analysis: Understanding, doing, and making it sound.
Liu, J., Liao, X., Huang, W., & Liao, X. (2019). Market segmentation: A multiple criteria approach combining preference analysis and segmentation decision. Omega, 83, 1-13.
Thabit, T., & Raewf, M. (2018). The evaluation of marketing mix elements: A case study. International Journal of Social Sciences & Educational Studies, 4(4).
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