Market segmentation

Market segmentation is the process of identifying a broad classifying consumer or customers market, it consisting of existing and potential customers, into sub-groups of consumers is known as segments based on some type of shared characteristics.

Market segmentation

market segmentation

Geographic segmentation

Geographic segmentation divides markets according to geographic criteria. In practice, markets can be segmented as broadly as continents and as narrowly as neighborhoods or postal codes. Typical geographic variables include:Country ,Region,Population density,City or town size,Climatic zone

Demographic segmentation

Segmentation according to demography is based on consumer- demographic variables such as age, income, family size, socio-economic status, etc.Demographic segmentation assumes that consumers with similar demographic profiles will exhibit similar purchasing patterns, motivations, interests and lifestyles and that these characteristics will translate into similar product/brand preferences. In practice, demographic segmentation can potentially employ any variable that is used by the nation’s census collectors. Typical demographic variables and their descriptors are as follows:Age,Gender,Occupation,Social class ,Marital Status,Income,Ethnicity,Religion

Psychographic segmentation

Psychographic segmentation, which is sometimes called lifestyle segmentation, is measured by studying the activities, interests, and opinions of customers. It considers how people spend their leisure, and which external influences they are most responsive to and influenced by. Psychographics is a very widely used basis for segmentation, because it enables marketers to identify tightly defined market segments and better understand consumer motivations for product or brand choice.

While many of these proprietary psychographic segmentation analyses are well-known, the majority of studies based on psychographics are custom designed. That is, the segments are developed for individual products at a specific time. One common thread among psychographic segmentation studies is that they use quirky names to describe the segments.

Behavioral segmentation

Behavioral segmentation divides consumers into groups according to their observed behaviors. Many marketers believe that behavioral variables are superior to demographics and geographic for building market segments.Typical behavioral variables and their descriptors include:Purchase,,Benefit-Sought,User Status,Loyalty Status,Attitude,Adopter Status: Ex :Early adopter, late adopter, laggard