Square segmentation, targeting and positioning refers to a series of consecutive marketing efforts. It comprises the following stages:
1. Segmenting the market. Generally, market segmentation involves dividing population into certain characteristics. For Square, segmentation also involves private entities taking into account B2B, as well as, B2C nature of its business. The most popular types of segmentation are geographic, demographic, behavioural and psychographic.
2. Targeting the selected segment(s). Choosing specific groups among those formed as a result of segmentation to sell products and/or services. In B2B front Square selected as target customer segment small businesses facing difficulties accepting credit cards. In B2C business, the target customer segment for Square is broad. The financial unicorn decided to target the individuals in developed countries who engage in financial transactions with other individuals and this segment of population is large.
3. Positioning the offering. Choosing and applying the elements of the marketing mix that appeal best to the needs and wants of the selected target customer segment. Square developed a card reader and positioned this product as an effective solution for small businesses that were facing difficulties in accepting credit cards.
The payments company is making an important shift from mono-segment towards multi-segment type of positioning. Specifically, the financial services platform started with selling card readers to small business segment only. Nowadays, Square’s expanding range of financial products and services are attracting increasing numbers of medium business segment as well.
For B2C customer segment the financial services platform positioned its products and services as simplified versions of products and services already available on the market. For example, Cash App offers individuals hassle-free possibilities of investing in stock and bitcoin without any commission.
Square Inc. Report contains the above analysis of Square segmentation, targeting and positioning and Square marketing strategy in general. The report illustrates the application of the major analytical strategic frameworks in business studies such as SWOT, PESTEL, Porter’s Five Forces, Value Chain analysis, Ansoff Matrix and McKinsey 7S Model on Square. Moreover, the report contains analyses of Square leadership, organizational structure and organizational culture. The report also comprises discussions of Square business strategy, ecosystem and addresses issues of corporate social responsibility.