Undifferentiated marketing
DESCRIPTION
A marketing approach that forgoes segmentation and product tailoring, targeting an audience with a single offering and a single marketing mix.
A marketing approach that forgoes segmentation and product tailoring, targeting an audience with a single offering and a single marketing mix.
KEY INSIGHTS
Undifferentiated marketing was a prevailing approach of the productoriented era of marketing, where businesses viewed the marketplace as an aggregate market and, hence, focused on the common needs of customers rather than their differences. Today, such an approach is often associated with serving commodity markets where firms strive to be a low-cost producer (Jain 1985).
Undifferentiated marketing was a prevailing approach of the productoriented era of marketing, where businesses viewed the marketplace as an aggregate market and, hence, focused on the common needs of customers rather than their differences. Today, such an approach is often associated with serving commodity markets where firms strive to be a low-cost producer (Jain 1985).
KEYWORDS Single offering
IMPLICATIONS
As a marketing approach, undifferentiated marketing can provide the advantage of cost leadership through producing a comparatively standard and low-cost product and offering it to customers at the lowest prevailing market price (Dalgic and Leeuw 1994). As such, the marketer’s firm can pursue higher sales volumes in comparison to firms using a niche marketing strategy which are in the pursuit of higher profit margins (see also niche marketing).
As a marketing approach, undifferentiated marketing can provide the advantage of cost leadership through producing a comparatively standard and low-cost product and offering it to customers at the lowest prevailing market price (Dalgic and Leeuw 1994). As such, the marketer’s firm can pursue higher sales volumes in comparison to firms using a niche marketing strategy which are in the pursuit of higher profit margins (see also niche marketing).
APPLICATION AREAS AND FURTHER READINGS
Marketing Strategy
Holbrook, Morris B., and Holloway, Douglas V. (1984). ‘Marketing Strategy and the Structure of Aggregate, Segment-Specific, and Differential Preferences,’ Journal of Marketing, 48(1), Winter, 62–67.
Holbrook, Morris B., and Holloway, Douglas V. (1984). ‘Marketing Strategy and the Structure of Aggregate, Segment-Specific, and Differential Preferences,’ Journal of Marketing, 48(1), Winter, 62–67.
Biggadike, E. Ralph (1981). ‘The Contributions of Marketing to Strategic Management,’ Academy of Management Review, 6(4), October, 621–632.
Kara, A., and Kaynak, E. (1997). ‘Markets of a Single Customer: Exploiting Conceptual Developments in Market Segmentation,’ European Journal of Marketing, 31(11/12), 873–895.
Marketing Management
Dawes, J., and Worthington, S. (1996). ‘Customer Information Systems and Competitive Advantage: A Case Study of a Top Ten Building Society,’ International Journal of Bank Marketing, 14(4), 36–44.
Dawes, J., and Worthington, S. (1996). ‘Customer Information Systems and Competitive Advantage: A Case Study of a Top Ten Building Society,’ International Journal of Bank Marketing, 14(4), 36–44.
Consumer Behavior
Addis, M., and Holbrook, M. B. (2001). ‘On the Conceptual Link between Mass Customisation and Experiential Consumption: An Explosion of Subjectivity,’ Journal of Consumer Behavior, 1(1), 50–66.
Addis, M., and Holbrook, M. B. (2001). ‘On the Conceptual Link between Mass Customisation and Experiential Consumption: An Explosion of Subjectivity,’ Journal of Consumer Behavior, 1(1), 50–66.
BIBLIOGRAPHY
Jain, Subhash C. (1985). Marketing Planning and Strategy. Cincinnati: South-Western Publishing Co.
Jain, Subhash C. (1985). Marketing Planning and Strategy. Cincinnati: South-Western Publishing Co.
Dalgic, T., and Leeuw, M. (1994). ‘Niche Marketing Revisited: Concept, Applications and Some European Cases,’ European Journal of Marketing, 28(4), 39–56.
uniform-delivered pricing see pricing strategies