Geographic Criteria Demographic Criteria Psychographic Criteria Behavioristic Criteria

2. 1. Geographic Criterea
International
National
Regional/City

3. 2. Demographic Criteria

Dividing the market into
groups based on
variables such as:
 Age
 Gender
 Family size or life
cycle
 Income
 Occupation
 Nationality

4. Variable
Possible
Segments
Products
Age
Child, Adult,
Senior citizen
Toys. Medigap,
Insurance
Sex
Male, Female
Cosmetics,
sporting
Equipments
Family size
1, 2, 3, 4 or more
Packaged soaps,
minivans
Occupation
Professional and
technical,
Managers,
Clerical sales,
Students, Retired,
Unemployed
American, British,
Italian, Filipino
Work, shoes, PC,
Laptop
Nationality
Ethnic, foods,
movies

5. 3. Psychographic Criteria
Divides Buyers Into Different Groups Based on:

6. Philippine classification





A:
B:
C:
D:
E:
High income group
Upper middle income group
Lower middle income group
Lower income group
Unemployed and no income

7. 4. Behavioristic Criteria

Dividing the market
into groups based on
variables such as:
 Occasions
 Benefit Sought
 User status
 Usage rate
 Loyalty status
 Buyer Readiness

8. Requirements for effective segmentation
Requirements for effective segmentation
Measurable
Measurable
Accessible
Accessible
• Size, purchasing power, profiles
of segments can be measured.
• Segments can be effectively
reached and served.
Substantial
Substantial
• Segments are large or profitable
enough to serve.
Actionable
Actionable
• Effective programs can be
designed to attract and serve
the segments.

9. Evaluating Market Segments



Segment size and growth
Segment structural attractiveness
Company objectives and resources

10. Procedure for identifying and prioritizing
worthwhile market segments

Select product/Market area

Qualify prospective markets

Determine worthwhile target market

Profile and prioritize segments