SlideShare a Scribd company logo
1 of 11
Market Selection
Dr. Pooja
Assistant Professor
Dept. of Commerce
AMPGC, BHU
Market Segmentation
Bases for Segmenting Consumer Market
 Segmentation is to divide a market composed of consumers with
diverse characteristics and behaviors into homogeneous segments that
contain persons who will all respond similarly to a firm’s marketing
effort.
 This implies that for any classification, scheme to qualify as market
segmentation, the segments must exhibit these behavioral response
differences.
Bases
of
Consumer
Market
Segmentation
Geographic Segmentation
Demographic Segmentation
Psychographic Segmentation
Behavioural Segmentation
Volume Segmentation
Product Space Segmentation
Benefit Segmentation
 This segmentation is based on places or locations where consumers reside. Here, market segmentation
calls for dividing the market into different geographical units, such as nations, states, regions, cities, climates,
urban/village, etc. Needs and preferences differ significantly at different places. So, a company may operate in
one or more geographical area as per its capacity.
1. Local Market:
2. Urban Market:
3. Rural Market:
4. Regional or State Market:
5. National Market:
6. International or Global Market:
7. Climate/Weather:
 Thus, a company should formulate marketing strategy as per its market in different geographical areas.
Product, price, promotion, and distribution decisions are considerably affected by geographic segmentation.
 In demographic segmentation, the market is divided on the basis of demographic variables, such as
age, gender, family size, income, occupation, etc. It is the most popular and widely practiced set of bases.
Needs, wants, preferences, and usage rate are highly associated with demographic variables. Also, it is
comparatively easy to identify and measure market by demographic variables.
1. Age
2. Gender
3. Size of Family
4. Family-Life-Cycle
5. Income
6. Education
7. Castes and Social Classes
8. Profession/Occupation
9. Religion
10. Nationality
 In psychographic segmentation, the market is divided into different groups on the
basis of psychographic characteristics of buyers, like social class, life style, perception,
learning, attitudes, and personality. Psychological characteristics refer to the inner or
intrinsic qualities of the individual consumer. Consumers within same geographic and
demographic group can exhibit quite different psychographic profile. Psychographic
segmentation mainly involve following bases:
1. Social Class:
2. Life-style:
3. Personality:
4. Buying Motives:
 Such segmentation is also called as consumer response segmentation, behavioural segmentation or
product characteristics-based market segmentation. Clearly, the market is divided on the bases of product
characteristics or consumer response to the products. (Consumer responds differently due varied product
characteristics). The popularly used behavioural bases have been discussed in following part:
 1. Occasions
 2. Benefits received
 3. User Status
 i. Non-users
 ii. Ex-users
 iii. Potential Users:
 iv. First-time Users:
 v. Occasional Users:
 vi. Regular Users:
 Consumers are classified light, medium and heavy users of a product. In some cases, 80
per cent of the product may be sold to only 20 per cent of the group. Marketers can decide
product features and advertising strategies by finding common characteristics among heavy
users. For example, airlines having ‘Frequent Flyer’ are using user rate as the basis of market
segmentation. Generally, marketers are interested in the heavy user group.
 But marketers should pay attention to all the user groups because they represent different
opportunities. The non-users may consist of two types of people— those who do not use the
product and those who might use it. Some may change over time from a non-user to a user.
 Those who do not use due to ignorance may be provided extensive information. Repetitive
advertising may be used to overcome inertia or psychological resistance. In this way non-users
can gradually be converted into users.
 Here the buyers are asked to compare the existing brands according to
their perceived similarity and in relation to their ideal brands. First, the
analyst infers the latent attributes that consumers are using to perceive
the brand. Then buyers are classified into groups each having a distinct
ideal brand in mind. The distinctive characteristics of each group are
ascertained.
 Consumer behaviour depends more on the benefit sought in product/service than on
demographic factors. Each market segment is identified by the major benefits it is seeking.
Most buyers seek as many benefits as possible. However, the relative importance
attached to individual benefits differs from one group to another. Research studies on
benefit segmentation reveal that it is easier to take advantage of existing segment, then to
create new segments. As no brand can appeal to all consumers, a marketer who wants to
cover the market fully must offer multiple brands.
 Consumers’ loyalty pattern can be used for dividing the market. Consumers hold varying
degree of loyalty to the brand. Accordingly, buyers can be divided into four major groups:
 i. Hard core Loyal:
 ii. Soft core Loyal
 Iii. Brand Switchers:
Bases for Segmentation of consumer market

More Related Content

What's hot

Consumer behaviour
Consumer behaviourConsumer behaviour
Consumer behaviourkawther Ali
 
Evolution of Marketing Concept
Evolution of Marketing ConceptEvolution of Marketing Concept
Evolution of Marketing ConceptCik Aisyahfitrah
 
Buying behaviour ppt
Buying behaviour pptBuying behaviour ppt
Buying behaviour pptIsha Arya
 
Nature, Scope, Importance and Application of consumer behavior
Nature, Scope, Importance and  Application of consumer behaviorNature, Scope, Importance and  Application of consumer behavior
Nature, Scope, Importance and Application of consumer behaviorVijyata Singh
 
SEGMENTATION, TARGETING and POSITIONING
SEGMENTATION, TARGETING and POSITIONINGSEGMENTATION, TARGETING and POSITIONING
SEGMENTATION, TARGETING and POSITIONINGVIRUPAKSHA GOUD
 
Consumer Involvement 1
Consumer Involvement 1Consumer Involvement 1
Consumer Involvement 1Aditya008
 
Segmentation, Targeting, and Positioning
Segmentation, Targeting, and PositioningSegmentation, Targeting, and Positioning
Segmentation, Targeting, and PositioningMehmet Cihangir
 
Consumer behavior and factors influencing consumer behavior
Consumer behavior and factors influencing consumer behaviorConsumer behavior and factors influencing consumer behavior
Consumer behavior and factors influencing consumer behaviorWish Mrt'xa
 
Engel kollat blackwell model
Engel kollat blackwell modelEngel kollat blackwell model
Engel kollat blackwell modelANOOP S NAIR
 
Attitudes and Intentions (Consumer Behavior)
Attitudes and Intentions (Consumer Behavior)Attitudes and Intentions (Consumer Behavior)
Attitudes and Intentions (Consumer Behavior)Princess Ann Puno
 
Models of consumer behavior
Models of consumer behaviorModels of consumer behavior
Models of consumer behaviorAnjali Das V.M
 
Consumer Behaviour Chapter 4 Consumer Motivation
Consumer Behaviour Chapter 4 Consumer MotivationConsumer Behaviour Chapter 4 Consumer Motivation
Consumer Behaviour Chapter 4 Consumer MotivationFarman Zakhilwal
 
Chapter 1 introduction to marketing present
Chapter 1  introduction to marketing presentChapter 1  introduction to marketing present
Chapter 1 introduction to marketing presentAin Omar
 
Type of products
Type of products Type of products
Type of products Byju Antony
 
Consumer Behaviour.ppt
Consumer Behaviour.pptConsumer Behaviour.ppt
Consumer Behaviour.pptssuser89412d1
 
Introduction to marketing management
Introduction to marketing managementIntroduction to marketing management
Introduction to marketing managementSagar Gadekar
 
Chapter 16 Consumer Buying Decision
Chapter 16  Consumer Buying DecisionChapter 16  Consumer Buying Decision
Chapter 16 Consumer Buying DecisionAvinash Kumar
 

What's hot (20)

Consumer behaviour
Consumer behaviourConsumer behaviour
Consumer behaviour
 
Evolution of Marketing Concept
Evolution of Marketing ConceptEvolution of Marketing Concept
Evolution of Marketing Concept
 
Buyer Behaviour
Buyer BehaviourBuyer Behaviour
Buyer Behaviour
 
Buying behaviour ppt
Buying behaviour pptBuying behaviour ppt
Buying behaviour ppt
 
Nature, Scope, Importance and Application of consumer behavior
Nature, Scope, Importance and  Application of consumer behaviorNature, Scope, Importance and  Application of consumer behavior
Nature, Scope, Importance and Application of consumer behavior
 
Market Segmentation
Market SegmentationMarket Segmentation
Market Segmentation
 
SEGMENTATION, TARGETING and POSITIONING
SEGMENTATION, TARGETING and POSITIONINGSEGMENTATION, TARGETING and POSITIONING
SEGMENTATION, TARGETING and POSITIONING
 
Consumer Involvement 1
Consumer Involvement 1Consumer Involvement 1
Consumer Involvement 1
 
Segmentation, Targeting, and Positioning
Segmentation, Targeting, and PositioningSegmentation, Targeting, and Positioning
Segmentation, Targeting, and Positioning
 
Consumer behavior and factors influencing consumer behavior
Consumer behavior and factors influencing consumer behaviorConsumer behavior and factors influencing consumer behavior
Consumer behavior and factors influencing consumer behavior
 
Engel kollat blackwell model
Engel kollat blackwell modelEngel kollat blackwell model
Engel kollat blackwell model
 
Attitudes and Intentions (Consumer Behavior)
Attitudes and Intentions (Consumer Behavior)Attitudes and Intentions (Consumer Behavior)
Attitudes and Intentions (Consumer Behavior)
 
Models of consumer behavior
Models of consumer behaviorModels of consumer behavior
Models of consumer behavior
 
Consumer Behaviour Chapter 4 Consumer Motivation
Consumer Behaviour Chapter 4 Consumer MotivationConsumer Behaviour Chapter 4 Consumer Motivation
Consumer Behaviour Chapter 4 Consumer Motivation
 
Chapter 1 introduction to marketing present
Chapter 1  introduction to marketing presentChapter 1  introduction to marketing present
Chapter 1 introduction to marketing present
 
Type of products
Type of products Type of products
Type of products
 
Consumer Behaviour.ppt
Consumer Behaviour.pptConsumer Behaviour.ppt
Consumer Behaviour.ppt
 
Introduction to marketing management
Introduction to marketing managementIntroduction to marketing management
Introduction to marketing management
 
Chapter 16 Consumer Buying Decision
Chapter 16  Consumer Buying DecisionChapter 16  Consumer Buying Decision
Chapter 16 Consumer Buying Decision
 
Demand states
Demand statesDemand states
Demand states
 

Similar to Bases for Segmentation of consumer market

Behavioural Segmentation of Market
Behavioural Segmentation of MarketBehavioural Segmentation of Market
Behavioural Segmentation of MarketKaushik Deb
 
marketsegmentation-mm2-lva1-app6891.pptx
marketsegmentation-mm2-lva1-app6891.pptxmarketsegmentation-mm2-lva1-app6891.pptx
marketsegmentation-mm2-lva1-app6891.pptxNidhiBhatnagar19
 
b-com1consumerbehaviour-130205130300-phpapp02.pptx
b-com1consumerbehaviour-130205130300-phpapp02.pptxb-com1consumerbehaviour-130205130300-phpapp02.pptx
b-com1consumerbehaviour-130205130300-phpapp02.pptx984416932690212
 
CB and mkt segment (1) (1).ppt
CB and mkt segment (1) (1).pptCB and mkt segment (1) (1).ppt
CB and mkt segment (1) (1).pptdishasharma854962
 
Identifying market segments and targets
Identifying market segments and targetsIdentifying market segments and targets
Identifying market segments and targetsFedrian Putra
 
Cb segmentation final
Cb segmentation finalCb segmentation final
Cb segmentation finalSakshi Prerna
 
Chapter one
Chapter oneChapter one
Chapter oneresmawa
 
Marketing Management Unit 2
Marketing Management Unit 2Marketing Management Unit 2
Marketing Management Unit 2Amit Sarkar
 
Buyer behaviour, Targeting and Positioning.pptx
Buyer behaviour, Targeting and Positioning.pptxBuyer behaviour, Targeting and Positioning.pptx
Buyer behaviour, Targeting and Positioning.pptxVidhiModi18
 
06 principles of marketing - market segmentation, targeting and positioning
06   principles of marketing - market segmentation, targeting and positioning06   principles of marketing - market segmentation, targeting and positioning
06 principles of marketing - market segmentation, targeting and positioningSufyan Safi
 
MM(UBBA)- C 8.ppt
MM(UBBA)- C 8.pptMM(UBBA)- C 8.ppt
MM(UBBA)- C 8.pptamardocx
 
Types Marketing segmentation
Types Marketing segmentation Types Marketing segmentation
Types Marketing segmentation RukhsanaMengal
 
Identifying market segments & targets
Identifying market segments & targetsIdentifying market segments & targets
Identifying market segments & targetsKiritKene
 
marketing segmentation
marketing segmentationmarketing segmentation
marketing segmentationrajakamit
 

Similar to Bases for Segmentation of consumer market (20)

Behavioural Segmentation of Market
Behavioural Segmentation of MarketBehavioural Segmentation of Market
Behavioural Segmentation of Market
 
marketsegmentation-mm2-lva1-app6891.pptx
marketsegmentation-mm2-lva1-app6891.pptxmarketsegmentation-mm2-lva1-app6891.pptx
marketsegmentation-mm2-lva1-app6891.pptx
 
Lecture 3 Market Segmentation.pptx
Lecture 3 Market Segmentation.pptxLecture 3 Market Segmentation.pptx
Lecture 3 Market Segmentation.pptx
 
Market Segmentation PPT
Market Segmentation PPTMarket Segmentation PPT
Market Segmentation PPT
 
b-com1consumerbehaviour-130205130300-phpapp02.pptx
b-com1consumerbehaviour-130205130300-phpapp02.pptxb-com1consumerbehaviour-130205130300-phpapp02.pptx
b-com1consumerbehaviour-130205130300-phpapp02.pptx
 
1 Strategic Product Management - Introduction
1 Strategic Product Management - Introduction1 Strategic Product Management - Introduction
1 Strategic Product Management - Introduction
 
CB and mkt segment (1) (1).ppt
CB and mkt segment (1) (1).pptCB and mkt segment (1) (1).ppt
CB and mkt segment (1) (1).ppt
 
Identifying market segments and targets
Identifying market segments and targetsIdentifying market segments and targets
Identifying market segments and targets
 
Cb segmentation final
Cb segmentation finalCb segmentation final
Cb segmentation final
 
Chapter one
Chapter oneChapter one
Chapter one
 
Chapter 02
Chapter 02Chapter 02
Chapter 02
 
Marketing Management Unit 2
Marketing Management Unit 2Marketing Management Unit 2
Marketing Management Unit 2
 
Buyer behaviour, Targeting and Positioning.pptx
Buyer behaviour, Targeting and Positioning.pptxBuyer behaviour, Targeting and Positioning.pptx
Buyer behaviour, Targeting and Positioning.pptx
 
06 principles of marketing - market segmentation, targeting and positioning
06   principles of marketing - market segmentation, targeting and positioning06   principles of marketing - market segmentation, targeting and positioning
06 principles of marketing - market segmentation, targeting and positioning
 
Market Segmentation
Market SegmentationMarket Segmentation
Market Segmentation
 
MM(UBBA)- C 8.ppt
MM(UBBA)- C 8.pptMM(UBBA)- C 8.ppt
MM(UBBA)- C 8.ppt
 
Types Marketing segmentation
Types Marketing segmentation Types Marketing segmentation
Types Marketing segmentation
 
Identifying market segments & targets
Identifying market segments & targetsIdentifying market segments & targets
Identifying market segments & targets
 
marketing segmentation
marketing segmentationmarketing segmentation
marketing segmentation
 
Market segmentation
Market segmentationMarket segmentation
Market segmentation
 

More from Dr Pooja

Product Labelling
Product LabellingProduct Labelling
Product LabellingDr Pooja
 
Product Branding
Product BrandingProduct Branding
Product BrandingDr Pooja
 
Product Packaging
Product PackagingProduct Packaging
Product PackagingDr Pooja
 
Product Life Cycle
Product Life CycleProduct Life Cycle
Product Life CycleDr Pooja
 
Product- Concept, Product Line & Mix
Product- Concept, Product Line & MixProduct- Concept, Product Line & Mix
Product- Concept, Product Line & MixDr Pooja
 
Patterns of Target Market Selection
Patterns of Target Market SelectionPatterns of Target Market Selection
Patterns of Target Market SelectionDr Pooja
 
Levels and Pattern of Market Segmentation
Levels and Pattern of Market SegmentationLevels and Pattern of Market Segmentation
Levels and Pattern of Market SegmentationDr Pooja
 
Buying motives and buying process
Buying motives and buying processBuying motives and buying process
Buying motives and buying processDr Pooja
 
Buyer behaviour
Buyer behaviour Buyer behaviour
Buyer behaviour Dr Pooja
 
Marketing Research
Marketing ResearchMarketing Research
Marketing ResearchDr Pooja
 
Marketing Environment
Marketing EnvironmentMarketing Environment
Marketing EnvironmentDr Pooja
 
Marketing and society
Marketing and societyMarketing and society
Marketing and societyDr Pooja
 

More from Dr Pooja (12)

Product Labelling
Product LabellingProduct Labelling
Product Labelling
 
Product Branding
Product BrandingProduct Branding
Product Branding
 
Product Packaging
Product PackagingProduct Packaging
Product Packaging
 
Product Life Cycle
Product Life CycleProduct Life Cycle
Product Life Cycle
 
Product- Concept, Product Line & Mix
Product- Concept, Product Line & MixProduct- Concept, Product Line & Mix
Product- Concept, Product Line & Mix
 
Patterns of Target Market Selection
Patterns of Target Market SelectionPatterns of Target Market Selection
Patterns of Target Market Selection
 
Levels and Pattern of Market Segmentation
Levels and Pattern of Market SegmentationLevels and Pattern of Market Segmentation
Levels and Pattern of Market Segmentation
 
Buying motives and buying process
Buying motives and buying processBuying motives and buying process
Buying motives and buying process
 
Buyer behaviour
Buyer behaviour Buyer behaviour
Buyer behaviour
 
Marketing Research
Marketing ResearchMarketing Research
Marketing Research
 
Marketing Environment
Marketing EnvironmentMarketing Environment
Marketing Environment
 
Marketing and society
Marketing and societyMarketing and society
Marketing and society
 

Recently uploaded

ClimART Action | eTwinning Project
ClimART Action    |    eTwinning ProjectClimART Action    |    eTwinning Project
ClimART Action | eTwinning Projectjordimapav
 
Reading and Writing Skills 11 quarter 4 melc 1
Reading and Writing Skills 11 quarter 4 melc 1Reading and Writing Skills 11 quarter 4 melc 1
Reading and Writing Skills 11 quarter 4 melc 1GloryAnnCastre1
 
ROLES IN A STAGE PRODUCTION in arts.pptx
ROLES IN A STAGE PRODUCTION in arts.pptxROLES IN A STAGE PRODUCTION in arts.pptx
ROLES IN A STAGE PRODUCTION in arts.pptxVanesaIglesias10
 
INTRODUCTION TO CATHOLIC CHRISTOLOGY.pptx
INTRODUCTION TO CATHOLIC CHRISTOLOGY.pptxINTRODUCTION TO CATHOLIC CHRISTOLOGY.pptx
INTRODUCTION TO CATHOLIC CHRISTOLOGY.pptxHumphrey A Beña
 
Narcotic and Non Narcotic Analgesic..pdf
Narcotic and Non Narcotic Analgesic..pdfNarcotic and Non Narcotic Analgesic..pdf
Narcotic and Non Narcotic Analgesic..pdfPrerana Jadhav
 
Expanded definition: technical and operational
Expanded definition: technical and operationalExpanded definition: technical and operational
Expanded definition: technical and operationalssuser3e220a
 
week 1 cookery 8 fourth - quarter .pptx
week 1 cookery 8  fourth  -  quarter .pptxweek 1 cookery 8  fourth  -  quarter .pptx
week 1 cookery 8 fourth - quarter .pptxJonalynLegaspi2
 
Congestive Cardiac Failure..presentation
Congestive Cardiac Failure..presentationCongestive Cardiac Failure..presentation
Congestive Cardiac Failure..presentationdeepaannamalai16
 
Grade Three -ELLNA-REVIEWER-ENGLISH.pptx
Grade Three -ELLNA-REVIEWER-ENGLISH.pptxGrade Three -ELLNA-REVIEWER-ENGLISH.pptx
Grade Three -ELLNA-REVIEWER-ENGLISH.pptxkarenfajardo43
 
BIOCHEMISTRY-CARBOHYDRATE METABOLISM CHAPTER 2.pptx
BIOCHEMISTRY-CARBOHYDRATE METABOLISM CHAPTER 2.pptxBIOCHEMISTRY-CARBOHYDRATE METABOLISM CHAPTER 2.pptx
BIOCHEMISTRY-CARBOHYDRATE METABOLISM CHAPTER 2.pptxSayali Powar
 
Visit to a blind student's school🧑‍🦯🧑‍🦯(community medicine)
Visit to a blind student's school🧑‍🦯🧑‍🦯(community medicine)Visit to a blind student's school🧑‍🦯🧑‍🦯(community medicine)
Visit to a blind student's school🧑‍🦯🧑‍🦯(community medicine)lakshayb543
 
How to Make a Duplicate of Your Odoo 17 Database
How to Make a Duplicate of Your Odoo 17 DatabaseHow to Make a Duplicate of Your Odoo 17 Database
How to Make a Duplicate of Your Odoo 17 DatabaseCeline George
 
MULTIDISCIPLINRY NATURE OF THE ENVIRONMENTAL STUDIES.pptx
MULTIDISCIPLINRY NATURE OF THE ENVIRONMENTAL STUDIES.pptxMULTIDISCIPLINRY NATURE OF THE ENVIRONMENTAL STUDIES.pptx
MULTIDISCIPLINRY NATURE OF THE ENVIRONMENTAL STUDIES.pptxAnupkumar Sharma
 
Q-Factor General Quiz-7th April 2024, Quiz Club NITW
Q-Factor General Quiz-7th April 2024, Quiz Club NITWQ-Factor General Quiz-7th April 2024, Quiz Club NITW
Q-Factor General Quiz-7th April 2024, Quiz Club NITWQuiz Club NITW
 
ANG SEKTOR NG agrikultura.pptx QUARTER 4
ANG SEKTOR NG agrikultura.pptx QUARTER 4ANG SEKTOR NG agrikultura.pptx QUARTER 4
ANG SEKTOR NG agrikultura.pptx QUARTER 4MiaBumagat1
 
Influencing policy (training slides from Fast Track Impact)
Influencing policy (training slides from Fast Track Impact)Influencing policy (training slides from Fast Track Impact)
Influencing policy (training slides from Fast Track Impact)Mark Reed
 
Q4-PPT-Music9_Lesson-1-Romantic-Opera.pptx
Q4-PPT-Music9_Lesson-1-Romantic-Opera.pptxQ4-PPT-Music9_Lesson-1-Romantic-Opera.pptx
Q4-PPT-Music9_Lesson-1-Romantic-Opera.pptxlancelewisportillo
 
Q-Factor HISPOL Quiz-6th April 2024, Quiz Club NITW
Q-Factor HISPOL Quiz-6th April 2024, Quiz Club NITWQ-Factor HISPOL Quiz-6th April 2024, Quiz Club NITW
Q-Factor HISPOL Quiz-6th April 2024, Quiz Club NITWQuiz Club NITW
 

Recently uploaded (20)

INCLUSIVE EDUCATION PRACTICES FOR TEACHERS AND TRAINERS.pptx
INCLUSIVE EDUCATION PRACTICES FOR TEACHERS AND TRAINERS.pptxINCLUSIVE EDUCATION PRACTICES FOR TEACHERS AND TRAINERS.pptx
INCLUSIVE EDUCATION PRACTICES FOR TEACHERS AND TRAINERS.pptx
 
ClimART Action | eTwinning Project
ClimART Action    |    eTwinning ProjectClimART Action    |    eTwinning Project
ClimART Action | eTwinning Project
 
Reading and Writing Skills 11 quarter 4 melc 1
Reading and Writing Skills 11 quarter 4 melc 1Reading and Writing Skills 11 quarter 4 melc 1
Reading and Writing Skills 11 quarter 4 melc 1
 
ROLES IN A STAGE PRODUCTION in arts.pptx
ROLES IN A STAGE PRODUCTION in arts.pptxROLES IN A STAGE PRODUCTION in arts.pptx
ROLES IN A STAGE PRODUCTION in arts.pptx
 
INTRODUCTION TO CATHOLIC CHRISTOLOGY.pptx
INTRODUCTION TO CATHOLIC CHRISTOLOGY.pptxINTRODUCTION TO CATHOLIC CHRISTOLOGY.pptx
INTRODUCTION TO CATHOLIC CHRISTOLOGY.pptx
 
Narcotic and Non Narcotic Analgesic..pdf
Narcotic and Non Narcotic Analgesic..pdfNarcotic and Non Narcotic Analgesic..pdf
Narcotic and Non Narcotic Analgesic..pdf
 
Expanded definition: technical and operational
Expanded definition: technical and operationalExpanded definition: technical and operational
Expanded definition: technical and operational
 
week 1 cookery 8 fourth - quarter .pptx
week 1 cookery 8  fourth  -  quarter .pptxweek 1 cookery 8  fourth  -  quarter .pptx
week 1 cookery 8 fourth - quarter .pptx
 
Congestive Cardiac Failure..presentation
Congestive Cardiac Failure..presentationCongestive Cardiac Failure..presentation
Congestive Cardiac Failure..presentation
 
Grade Three -ELLNA-REVIEWER-ENGLISH.pptx
Grade Three -ELLNA-REVIEWER-ENGLISH.pptxGrade Three -ELLNA-REVIEWER-ENGLISH.pptx
Grade Three -ELLNA-REVIEWER-ENGLISH.pptx
 
BIOCHEMISTRY-CARBOHYDRATE METABOLISM CHAPTER 2.pptx
BIOCHEMISTRY-CARBOHYDRATE METABOLISM CHAPTER 2.pptxBIOCHEMISTRY-CARBOHYDRATE METABOLISM CHAPTER 2.pptx
BIOCHEMISTRY-CARBOHYDRATE METABOLISM CHAPTER 2.pptx
 
Visit to a blind student's school🧑‍🦯🧑‍🦯(community medicine)
Visit to a blind student's school🧑‍🦯🧑‍🦯(community medicine)Visit to a blind student's school🧑‍🦯🧑‍🦯(community medicine)
Visit to a blind student's school🧑‍🦯🧑‍🦯(community medicine)
 
How to Make a Duplicate of Your Odoo 17 Database
How to Make a Duplicate of Your Odoo 17 DatabaseHow to Make a Duplicate of Your Odoo 17 Database
How to Make a Duplicate of Your Odoo 17 Database
 
MULTIDISCIPLINRY NATURE OF THE ENVIRONMENTAL STUDIES.pptx
MULTIDISCIPLINRY NATURE OF THE ENVIRONMENTAL STUDIES.pptxMULTIDISCIPLINRY NATURE OF THE ENVIRONMENTAL STUDIES.pptx
MULTIDISCIPLINRY NATURE OF THE ENVIRONMENTAL STUDIES.pptx
 
Q-Factor General Quiz-7th April 2024, Quiz Club NITW
Q-Factor General Quiz-7th April 2024, Quiz Club NITWQ-Factor General Quiz-7th April 2024, Quiz Club NITW
Q-Factor General Quiz-7th April 2024, Quiz Club NITW
 
prashanth updated resume 2024 for Teaching Profession
prashanth updated resume 2024 for Teaching Professionprashanth updated resume 2024 for Teaching Profession
prashanth updated resume 2024 for Teaching Profession
 
ANG SEKTOR NG agrikultura.pptx QUARTER 4
ANG SEKTOR NG agrikultura.pptx QUARTER 4ANG SEKTOR NG agrikultura.pptx QUARTER 4
ANG SEKTOR NG agrikultura.pptx QUARTER 4
 
Influencing policy (training slides from Fast Track Impact)
Influencing policy (training slides from Fast Track Impact)Influencing policy (training slides from Fast Track Impact)
Influencing policy (training slides from Fast Track Impact)
 
Q4-PPT-Music9_Lesson-1-Romantic-Opera.pptx
Q4-PPT-Music9_Lesson-1-Romantic-Opera.pptxQ4-PPT-Music9_Lesson-1-Romantic-Opera.pptx
Q4-PPT-Music9_Lesson-1-Romantic-Opera.pptx
 
Q-Factor HISPOL Quiz-6th April 2024, Quiz Club NITW
Q-Factor HISPOL Quiz-6th April 2024, Quiz Club NITWQ-Factor HISPOL Quiz-6th April 2024, Quiz Club NITW
Q-Factor HISPOL Quiz-6th April 2024, Quiz Club NITW
 

Bases for Segmentation of consumer market

  • 1. Market Selection Dr. Pooja Assistant Professor Dept. of Commerce AMPGC, BHU Market Segmentation Bases for Segmenting Consumer Market
  • 2.  Segmentation is to divide a market composed of consumers with diverse characteristics and behaviors into homogeneous segments that contain persons who will all respond similarly to a firm’s marketing effort.  This implies that for any classification, scheme to qualify as market segmentation, the segments must exhibit these behavioral response differences.
  • 3. Bases of Consumer Market Segmentation Geographic Segmentation Demographic Segmentation Psychographic Segmentation Behavioural Segmentation Volume Segmentation Product Space Segmentation Benefit Segmentation
  • 4.  This segmentation is based on places or locations where consumers reside. Here, market segmentation calls for dividing the market into different geographical units, such as nations, states, regions, cities, climates, urban/village, etc. Needs and preferences differ significantly at different places. So, a company may operate in one or more geographical area as per its capacity. 1. Local Market: 2. Urban Market: 3. Rural Market: 4. Regional or State Market: 5. National Market: 6. International or Global Market: 7. Climate/Weather:  Thus, a company should formulate marketing strategy as per its market in different geographical areas. Product, price, promotion, and distribution decisions are considerably affected by geographic segmentation.
  • 5.  In demographic segmentation, the market is divided on the basis of demographic variables, such as age, gender, family size, income, occupation, etc. It is the most popular and widely practiced set of bases. Needs, wants, preferences, and usage rate are highly associated with demographic variables. Also, it is comparatively easy to identify and measure market by demographic variables. 1. Age 2. Gender 3. Size of Family 4. Family-Life-Cycle 5. Income 6. Education 7. Castes and Social Classes 8. Profession/Occupation 9. Religion 10. Nationality
  • 6.  In psychographic segmentation, the market is divided into different groups on the basis of psychographic characteristics of buyers, like social class, life style, perception, learning, attitudes, and personality. Psychological characteristics refer to the inner or intrinsic qualities of the individual consumer. Consumers within same geographic and demographic group can exhibit quite different psychographic profile. Psychographic segmentation mainly involve following bases: 1. Social Class: 2. Life-style: 3. Personality: 4. Buying Motives:
  • 7.  Such segmentation is also called as consumer response segmentation, behavioural segmentation or product characteristics-based market segmentation. Clearly, the market is divided on the bases of product characteristics or consumer response to the products. (Consumer responds differently due varied product characteristics). The popularly used behavioural bases have been discussed in following part:  1. Occasions  2. Benefits received  3. User Status  i. Non-users  ii. Ex-users  iii. Potential Users:  iv. First-time Users:  v. Occasional Users:  vi. Regular Users:
  • 8.  Consumers are classified light, medium and heavy users of a product. In some cases, 80 per cent of the product may be sold to only 20 per cent of the group. Marketers can decide product features and advertising strategies by finding common characteristics among heavy users. For example, airlines having ‘Frequent Flyer’ are using user rate as the basis of market segmentation. Generally, marketers are interested in the heavy user group.  But marketers should pay attention to all the user groups because they represent different opportunities. The non-users may consist of two types of people— those who do not use the product and those who might use it. Some may change over time from a non-user to a user.  Those who do not use due to ignorance may be provided extensive information. Repetitive advertising may be used to overcome inertia or psychological resistance. In this way non-users can gradually be converted into users.
  • 9.  Here the buyers are asked to compare the existing brands according to their perceived similarity and in relation to their ideal brands. First, the analyst infers the latent attributes that consumers are using to perceive the brand. Then buyers are classified into groups each having a distinct ideal brand in mind. The distinctive characteristics of each group are ascertained.
  • 10.  Consumer behaviour depends more on the benefit sought in product/service than on demographic factors. Each market segment is identified by the major benefits it is seeking. Most buyers seek as many benefits as possible. However, the relative importance attached to individual benefits differs from one group to another. Research studies on benefit segmentation reveal that it is easier to take advantage of existing segment, then to create new segments. As no brand can appeal to all consumers, a marketer who wants to cover the market fully must offer multiple brands.  Consumers’ loyalty pattern can be used for dividing the market. Consumers hold varying degree of loyalty to the brand. Accordingly, buyers can be divided into four major groups:  i. Hard core Loyal:  ii. Soft core Loyal  Iii. Brand Switchers: