; Concentrated targeting is particularly effective for small companies with limited resources as it does not require the use of mass production, mass distribution, and mass advertising. Concentrated marketing can be a risky strategy because you really do have all of your eggs in one basket. Microtargeting. For example, they offer both pet-friendly and baby-friendly rooms. Key Points. It is a method that repositions products or companies into small, profitable and homogeneous market segments that have been largely ignored or neglected by others. The targeting strategy is where the marketing mix comes together to create the right offer and marketing approach for each target segment. Concentrated marketing Targeting a very select group of customers. The marketing strategy will be on a target group of customers and not any traditional marketing strategy such as mass advertising and mass distribution will not be used to market the product. • Using a concentrated marketing strategy, the restaurant can market its convenient location to a group of residents within 10 miles of the business. Targeting strategy is a strategy for selection of potential customers the company/ organization can sell its products/services to. ... (also called concentrated marketing) is a strategy that targets only one or a few very defined and specific segments of the consumer population. Overview: Differentiated Marketing : Type: Marketing Strategy . • Using an undifferentiated marketing strategy, the restaurant can highlight its grand opening celebration. An organization that adopts a concentration strategy gains an advantage by being able to analyze the needs and wants of only one segment and then focusing all its efforts on that segment. involves targeting a very select group of customers. Definition (1) A marketing strategy with more than one target market. For example, selling auto parts only to auto manufacturers is a concentrated marketing strategy. Restaurant example The optimal use of resources would be there, as the activities which we are doing are concentrated on one target segment. Targeting is done to a specific target group as there are various segments in any market. A great example that I found online was how the Toyota Company uses the concentrated marketing strategy to capture the market segment for hybrid vehicles. A concentrated market is one in which a firm pursues a large share of one or a few sub-markets (Kotler and Armstrong, 2009). Undifferentiated Marketing . The auto parts industry is an example. Most firms do not select all the segments in a market to operate and choose one or few of the identified segments through targeting. Concentrated Marketing Definition. Microtargeting is a relatively new targeting strategy which involves isolation of the markets and collection of as much data as possible to target them in a personalized way. Concentrated marketing (or niche marketing) strategy focuses on going after a large share of one or a few smaller segments, instead of going after a small share of a larger market.