Segmentation is the process of dividing a market into distinct groups that have different needs or behaviors. A large company like BAT segments the market geographically by country and region, demographically by age, gender, income, and occupation, psychographically by social class and lifestyle, and behaviorally by user rate. Geographic segmentation divides markets into countries and regions like the Americas, Western Europe, and Asia. Behavioral segmentation categorizes customers based on their usage rate as light, medium, or heavy users.

1. Segmentation
 Segmentation: Segmentation is most important part of a company. Segmentation
called dividing a market into distinct groups of buyers who have different needs,
characteristics, or behaviors, and who might require separate product or marketing
programs. BAT is a mega company so here it is important for achieve the goal.
 Geographic Segmentation
 Demographic Segmentation
 Psychographic Segmentation
 Behavioral Segmentation

2. Geographic Segmentation
 Country region:
Americas, Western Europe,
Eastern Europe, Middle East,
Africa and Asia.
 Country: Argentina, Brazil,
Canada, Mexico, Denmark,
France, Germany, Italy, Russia,
South Africa, Bangladesh,
China, Japan etc.

3. Demographic Segmentation
 Age: Over 20 or 18 +
 Gender: male, Female
 Income: High, Medium and
Low
Example: Benson & Hedges, Pall
Mall, Derby and Hollywood.
 Occupation: Professional,
manager, farmers and official

4. Psychographic Segmentation
 Social class: working
class, middle class, upper
class
 Lifestyle: Achievers,
strivers, survivors
 Personality:
Compulsive, gregarious,
authoritarian, ambitious

5. Behavioral Segmentation
 User rate: lite user,
medium user, heavy
user.
Example: John Player
Gold Leaf, Pall Mall, Derby
and Benson & Hedges for
heavy user,, Dunhill, Kent,
for lite users, Pilot,
Hollywood and Capstan for
lite users.