Market Segmentation

1. Marketing Strategy
GROUP MEMBERS:
AMIT DANGI
NEVEEN BUKER
ROHIT DHAULA
VIJAY KUNDRA

2. TODAY’S AGENDA
I. Segmentation goals.
II. Why segmentation?
III. Common methods of segmentation.

3. Market Segmentation
Identifying and profiling distinct groups of buyers who
differ in their needs and preferences.

4. SEGMENTATION GOALS
 Market demand and market potential can be
measured
 Customer behavior is similar within segments
and different from other segments
 Segment members are reachable
 Ease of implementation can be achieved at
local level

5. Bases for Segmentation
 Geographic
 Demographic
 Psychographic
 Behavioral

6. Geographic
 Nation or country
 State or region
 City or metro size
 Density
 Climate

7. Demographic
 Age, gender
 Income,
 Family size
 Family life cycle
 Occupation
 Religion, nationality
 Generation
 Social class

8. Psychographic
 Lifestyle
 Activities
 Interests
 Opinions
 Personality
 Core values

9. Behavioral
 Occasions
 Benefits
 User status
 Usage rate
 Loyalty status
 Attitude

10. Measures of effective segmentation
 Practicality
How useful and actionable is the segmentation scheme?
 Reliability
How stable and reproducible is the segmentation scheme?
 Validity
Are the segments different on true, meaningful
characteristics?

11. WITHOUT AN EFFECTIVE MARKETING
STRATEGY
 Resources are being used ineffectively
 Highest profit customers–current and potential–
may be at risk
 Value destroyers erode profitability
 Product offerings are sub-optimal
 Channels are misaligned versus customer
requirements and profitability

12. Thank You