The STP model in marketing — Segmentation, Targeting, and Positioning — is one of the most essential frameworks every MBA student and marketer should master. It helps brands identify their ideal customer base, tailor marketing strategies, and occupy a distinct place in the consumer’s mind.
In India, where markets are extremely diverse in language, income, and lifestyle, applying the STP model correctly can make or break a brand. Let’s explore how leading Indian brands apply this model in practice.
What is the STP Model?
Before we dive into examples, let’s quickly recap:
- Segmentation: Dividing the market into distinct groups based on demographics, psychographics, geography, or behavior.
- Targeting: Choosing which segment(s) to focus marketing efforts on.
- Positioning: Crafting a brand image and messaging that appeals to the target segment.
1. Airtel – Urban Millennials & Youth
- Segmentation: Airtel uses demographic (age, income) and behavioral (data usage habits) segmentation.
- Targeting: Focuses heavily on urban millennials and working professionals who prioritize speed, convenience, and connectivity.
- Positioning: Airtel positions itself as a premium, tech-forward brand with slogans like “India’s fastest network” and emotional ads that reflect youthful independence.
2. Patanjali – Health-Conscious & Nationalist Consumers
- Segmentation: Combines psychographic (Ayurveda believers, natural living) and geographic (semi-urban/rural) segmentation.
- Targeting: Targets customers seeking natural, “Swadeshi” alternatives to MNC brands.
- Positioning: Patanjali is positioned as the authentic Indian brand, rooted in traditional wellness and nationalism — “Prakriti ka Ashirwad” (Nature’s blessing).
3. Titan – Aspirational Middle Class
- Segmentation: Segments based on income, age, and occasion (weddings, birthdays, promotions).
- Targeting: Middle and upper-middle-class consumers looking for affordable luxury.
- Positioning: Positioned as elegant, timeless, and emotionally rich — “What’s Your Time Saying?”
4. Surf Excel – Moms & Value-Driven Families
- Segmentation: Demographic (mothers), behavioral (sensitivity to cleanliness, kids’ activities).
- Targeting: Households that see stains as part of a child’s learning process.
- Positioning: “Daag Acche Hain” (Stains are good) — emotionally connects with mothers, showing dirt as a sign of positive development.
5. Ola – Cost-Conscious Urban Travelers
- Segmentation: Urban consumers who need daily transportation, both premium and budget-conscious.
- Targeting: Students, office-goers, and families in metro cities.
- Positioning: Positioned as affordable, convenient, and trustworthy — “Chalo Niklo.”
Why the STP Model Still Matters
In India’s hyper-competitive market, one-size-fits-all messaging fails. Brands that succeed are those that understand their niche, target clearly, and position with emotion or value. As a marketing student or professional, mastering the STP model in marketing allows you to decode why some brands win hearts and market share — and why others don’t.
Key Takeaways for MBA Students
- Don’t just memorize the STP model — apply it using real brands.
- Practice segmenting a market in group projects or assignments.
- Observe how brands position themselves differently across media (TV vs. digital).