Industry segments
Upcoming SlideShare
Loading in...5
×

Like this? Share it with your network

Share

Industry segments

  • 12,257 views
Uploaded on

 

  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Be the first to comment
    Be the first to like this
No Downloads

Views

Total Views
12,257
On Slideshare
12,257
From Embeds
0
Number of Embeds
0

Actions

Shares
Downloads
131
Comments
0
Likes
0

Embeds 0

No embeds

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
    No notes for slide

Transcript

  • 1. Industrial segmentation
  • 2. Contents ● Introduction ● Approaches ● Types of segmentation ● Market segmentation ● Customer segmentation ● Product segmentation ● Examples
  • 3. 1.Introduction ● Segmentation is the process of dividing or  partioning according to the need ● The goal of segmentation is to simplify ● There are no.of segments are in the industry  according to the particular domain ● The software industry can be segmented by the  nature of product,location,customers,etc.
  • 4. 2.Approaches The basic appraches for segmantation are: ● Two stage appraoch    ­>Macro segmenattion    ­>Micro segmenation ● Nested approach ● Bottom­up approach
  • 5. approach(cont.) Two stage approach: ● Macro segmenation   ­here the sgmentation is done on the basis of  industry location,SIC code,organisation size. ● Micro segmentation    ­this can be done by using product quality,buyer's  attitude,price etc.
  • 6. approach(cont.) ● Nested approach:(   The above approach sometimes may be difficult  to differentiate and made segmentation  complex.so,   This process allow flexibility in selecting or  avoiding thee criteria as suited to their businesses
  • 7. approach(cont.) ● Bottom­up appraoch(Kolter model):   # This is “build­up” approach.   # Instead of seeing the customer as identical,view  them as diiferent and proceed to identify the  similarities
  • 8. 3.Segmenation Objective
  • 9. 4.Types of segmentation ● Software industry can have various types of  segmentation as   * Market segmenatation   * Cutomer segmentation   * Product segmentation   * Brand segmentation ● According to the industry domain segmentation  can be differed.
  • 10. 5.market segmentation ● People or organization sharing with the demand  of similar products and services ● Homogenous ● 4 p's are the key concept of market segmenation  as Product,Pricing,Place,Promotion
  • 11. Market seg(cont.)
  • 12. Classification of market  segmentation ● Geographic segmentation­divide market into  location,regions,countries,cities ● Demographic segmantation­divide the market  into groups based on age,gender,income. ● Psycographic segmentation­social class,lifestyle ● Behavioral segmentation­ knowledge,attitude,uses & response to products
  • 13. 6.Product segmentation ● Segmentation based on product ● It is useful to classify the product according to the  customer needs ● Actions taken:   # Products were segmented based on volume and  growth potential   # Analysis confirmed that more than 80% of  margins came from less than 15% of product line
  • 14. Product seg(cont.) ● Results:   # Bottom 10% of products were removed or had  their prices raised within 3 months   # helps in better understanding of the customers’  needs and wants.    # Improving service delivery standards. 
  • 15. 7.Customer Segmentation ● It is the practice of dividing the customer based  into group of individuals ● It can be done based on  age,gender,interests,spending habits and so on
  • 16. Customer seg(cont.)
  • 17. Customer segmentation  using decision tree ● Decision tree divides population into smaller  groups repeatdely ● At anode,it selectts a single variable ● There are many applications that this type of  hierarchical segmentation is useful ● The figure for customer decision tree will be
  • 18. CMS decision tree
  • 19. 8.Examples The following are the examples of segments in  various industries ● HP Industry    ­communication service provider    ­ Gaming    ­Media & entertainment
  • 20. eg(cont.) ● Financial services    ­Banking    ­ Capital & marketing    ­ Insurance ● TCS   ­ financial services   ­ Banking services   ­ Manufacturing
  • 21. Thank you