Market Segmentation

9. Focus of the Company
Increase in competitiveness
Market expansion
Customer retention
Have better communication
Increases profitability

13. Selecting the target audience for whom your
product or service is meant to be, most likely
based on

16. Geographic segmentation tries to divide markets into
different geographical units:

17. Demographic segmentation consists of dividing the
market into groups based on variables such as

18. Psychographic segmentation groups customers according to
their lifestyle. Activities, interest, and opinions (AIO) surveys
are one tool for measuring lifestyle.

19. Behavioral segmentation is based on actual customer behavior
towards products. Some behavioral variable include

20. Target marketing represents a group of
individuals who have similar:
Needs
Perceptions
Interests
Similar Expectations from Market
Organization
e.g. Kellogg’s K Special for obese
individuals.

21. Different factors for selecting
target marketing:
Understand the lifestyle of
consumer
Age group of individuals
Income of consumers
Education
Gender etc
e.g. Why do people use soap?
To fight germs
For fairness

22. Market segmentation is about
whole package.
Price segmentation comes
after market segmentation.
It further divides market to
find the customer who are WTO
than others.
e.g. BMW

23. There are 5 steps for
segmentation:
Conduct preliminary
research
Determine how to
segment your market
Design your study
Create your customer
segments
Test and Iterate

24. Thank you