This document discusses market segmentation. It defines market segmentation as dividing a market into distinct groups that have similar needs and desires. The major types of segmentation variables are geographic, demographic, psychographic, and behavioral. Geographic segmentation divides the market by location. Demographic segmentation divides the market by factors like age, family size, and gender. Psychographic segmentation divides the market based on personality traits and lifestyle. For a market segment to be useful, it must be measurable, substantial, accessible, differentiable, and actionable.
2. Segmentation
Market segmentation divides market in to well defined slice.Amarket segment
consists of a group of customers who share a similar set of needs and wants.
The market's task is to identify the appropriate number and nature of market
segments and decide which ones to target.
The major segmentation variables
* Geographic.
*Demographic.
*psychogenic.
*Bechavioral segmentmentation
1.Geographic segmentation
It divides the market in to Geographical units such as nations, states,regions,
countriesand cities.this type of market segmentation is important for the
marketer sad people belonging to diffrent regions may heave
different requirements.
3. Example : Domenos sells pizza and target local
market and with customized menus. Instead of
using beef. In India Pizza hut pizza are made from
chicken and vegetables. due to religious .
4. 2. Demographic segmentation:
In this segmentation. We divied the Market on
Variables such as age, family, size, family life
cycle ,gender. One reason demographic varoables are
so popular with market's is that they are often
associated with customers needs and wants.
5. 3.psyxhographic segmentation:
It is the Science of using psychology and demographics
to better understand consumers. In psychographic
segmentation buyers are divided into diffrent groups
basses on life style or personality and values. People
with in the same demographic group can be exhibit
very different psychogenic profiles.
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9. To be useful market segments must wait
favourable on 5 key criteria.
Measurable: the size, purchasing power and
characteristics of the segments can be
measured.Substantial: The segment are large
and profitable in show to serve .a segment
should be the largest possible h group worth
going after with a target market in program. it
would not pay ,for example for an automobile
manufacture to develop cars for people who are
less than four feet tall.
10. Accessible : The segment can be effectively reached
and served. suppose a ffragrance company find that
heavy users of its brand are single men and women who
stay out late and Socsize a lot.
Differentiable:The segment are conceptuallying
and respond differently to different marketing
mix elements and programs if married and
unmarried woman respond similarly to a sale or
perfume. they do not continute separate
segments.
11. Actionablc: Effective program can be
formulated for attracting and serving the
segments. for example all through one small
airline identified 7 market segments. it's staff
Was too small to develop separate marketing
program for each segment.
