Mass and niche marketing, segmentation and CRM

Learning objectives

Compare selling one standard product to a whole market (mass marketing) with serving a small specialised segment (niche marketing), and evaluate each.

Explain geographic, demographic and psychographic segmentation and assess the benefits and drawbacks of segmenting a market.

Explain the aims of customer relationship marketing (CRM), such as retention and loyalty, and the methods used, such as loyalty schemes, customer data and personalised communication.

Evaluate whether the cost of CRM systems and staff is justified by higher customer retention and spending.