Market Segmentation

882 Words2 Pages
bulb-icon

Recommended: Project on market segmentation

Market Segmentation

What is Segmentation?

Market segmentation is the practice of dividing a market into

identifiable groups of customers with common characteristics and

motivations. This is so that each group can be treated independantly,

tailoring the marketing mix to meet the needs of each segment.

Furthermore, opportunities for new products and any niche markets are

highlighted. Segmentation also portrays which segemets are doing well,

which are likey profitable to be profitable/worth pursuing, which

segments need additional marketing support and which should be

ignored.

Psychographic

This affects the psychological motivation of the purchaser. It’s based

on the benefits that the products/services offer to the purchaser.

Factors that affect the buying decisions are increasingly emotive

rather than practical. Psychological factors are:

- Life style

Segmentation is based on actual lifestyle differences as well as

perception. Different lifestlyes fall into different catogories, for

example modern and trend-setting or traditional with few changes.

Another example would be expensive and willing to pay money or

unwilling to spend more than that is necessary.

- Interests

These would include sports, leisure activities and hobbies.

- Attitudes

Markets can be analysed and segmentated by attitude to politics,

lifestyle, certain products. For example an example concerning

chocolate and food be that some people would be willing to eat

non-organic foods others don't.

- Opinions

Identifies group with similar opinions on political and social issues.

Opinion polls are used to find the moods and feeligs of the target

group and the products can be tailored to appeal to the target

audience e.g Iceland appeals to consumers due to its no GM product

policy.

- Values

Values are influenced by family and social conditioning and the

product can be adapted to reflect values of the product. For example

fair-trade chocolate bars may appeal to ethica customers.

- Taste

Products can be catogrised to be in good or bad taste. Bad taste may

be seen as bad or offensive to some people but good to others because

its entertaining to others. For example a film with 'gross out' images

and storylines offends older people but amuses the youth. This

portrays how different people have different tastes.

How segmentation has affected the development of DeLights has been

incorporated when explaining the marketing mix each of the 4 P's.

Demographic

Demographic segmentation is where a market is analysed and divided

into groups based on demographic factors such as age and sex. These

factors relate to the social and economic features of the market being

segmented. Demographic variables can be closely related to customer

needs and purchasing behaviour, this helps producers target their

product more effectively.

Age

· Consumer needs and wants change with age although they may wish to

sell the same product to different types of people for example

Show More
Related

  • Bud Light Segmentation Analysis

    563 Words  | 2 Pages

    Segmentation variables can be classified into four major classes; geographic, demographic, psychographic and behavioural. The use of these categories either individually or in combination assists companies to identify and establish market segments which is relevant to the product or service they are offering. This in turn helps these organisations to evaluate the relevant segments to choose the pertinent target market.

    Read More

  • Glastonbury Festival- Music Event

    1225 Words  | 3 Pages

    Caroline and Jennifer said that ‘Market segmentation is a crucial marketing strategy. Its aim is to identify and delineate market segments or set of buyers which would then become targets for the company’s marketing plans.’ (Tynan and Drayton, 1987) There are many ways to segment the market, such as age, region, environment, psychology and wages (Hall, Jones and Raffo, 2010).

    Read More

  • Marketing Case Study Of Primark's Market

    1944 Words  | 4 Pages

    Segmentation is the process of identifying different macro-groups of customers (i.e. segments) based on their common characteristics. The process of choosing a target segment, on which to focus marketing activities on, is a process named targeting.

    Read More

  • Plan for Targeting and Segmenting New Liquor Filled Chocolates

    531 Words  | 2 Pages

    To begin with, it is crucial to appreciate the meaning of segmentation and targeting because these two terms lay the foundation for this report. Consequently, segmentation is dividing a market, into groups of consumers with homogenous traits in order to provide each group with the desired product. What is the meaning of targeting? It is where an enterprise evaluates every segment with an objective of identifying segments with promising business opportunities. Considering the nature of the product in question, it sufficed to mention that liquor- filled chocolates are to be sold to adults.

    Read More

  • Marketing Analysis

    1604 Words  | 4 Pages

    Roxie Photography is a photography business located in Fort Wayne, Indiana. Roxie Photography specializes in Newborn Photography and Boudoir Photography. The company is new to the Fort Wayne Area, having moved to the area from Guam. Roxie Photography owns a physical location, on East State Boulevard. The company currently offers two services, Boudoir sessions and Newborn sessions. Roxie Photography’s main focus is on the Boudoir service.

    Read More

  • Oliva Espin: Feminist Analysis

    547 Words  | 2 Pages

    Moving toward critical analysis on the basis of gender and power relations signaled a shift of focus from the methodological to the epistemological concerns for the feminists. The questions raised were about the source of the behavior and experiences. Even within this view of gendered relation two different types permeated the feminist community – those that subscribed to an essentialist view held that women’s development is uniquely different from that of men and they are much better than men; those that adhered to the social constructionist view took the position that true natures of men and women are unknowable, i.e. the characteristics attributed to males and females are not intrinsic but socially and situationally created. Gilligan (1982)

    Read More

  • Airline Game: Report on the Simulation

    2976 Words  | 6 Pages

    According to Kotler et al 2013 market segmentation is defined as dividing a market into smaller segments of buyers with distinct needs, characteristics or behaviours that might require separate marketing strategies or mixes. As per the industry data which we were operating we used different theories to segment the market one of them is STP process. In this method whole market is sub divided into different segments based on three activities these are segmentation, targeting and positioning. From the market information in case study we identified similar groups of consumer under market segmentation activity. For example market E had consumers travelling between mini hub to medium city that had a new and growing market. While targeting the market we identified which group of consumers to aim for instance market D had major university and service sectors. Lastly in the product and brand positioning we created a concept so as to appeal the target market by running as discount airline. One of the approaches for market segmentation according to Kotler et...

    Read More

  • Target Markets for Different Companies

    1144 Words  | 3 Pages

    ... a cola option that is “guilt free”. They also push the fact that it tastes the same as regular Pepsi telling them they don’t have to sacrifice taste for lower calories like most diet products. The target women is in her 20’s and 30’s single, dating age so she watches her weight. Diet Pepsi is a great option for her at the bar as well. She is middle class to upper middle class in a city, and she has no children. She dates a lot and is outgoing, she drinks and eats diet products because like all women her age she wants to look good and dreads going up a pants size.

    Read More

  • Biofuels Essay

    583 Words  | 2 Pages

    The increased use of nonrenewable fossil fossil fuels which are nonrenewable and awareness about environmental changes has been led to the development of fossil fuel alternatives such as biofuels which is , a renewable resource. From In the past few years, the researchers have been applied various methods and examined various feedstock biomass feedstock’s such as corn, sugar cane, canola, soybean and lignocellulosic crops for the production of biofuels. The primary drawback of these first and second generation biofuels are the high usage of agricultural land. which This can lead to the a food crisis, high water usage, and high production time. The An alternative solution to the current situation is is the production of biofuels from microalgae. Microalgae are single single-celled organisms that grow in a wide range of aquatic environments , from fresh water through saturated saline and have the higher lipid content compared to what?. MicroaAlgae have the capacity to produce and accumulate energy-rich oils, have natural ability to accumulate oil in its dry biomass. The genetic diversi...

    Read More

  • Gender Inequality in the Family and Labor Market

    1078 Words  | 3 Pages

    The studies presented in this essay argue that gender inequalities exist, men and women both still ‘do gender’. Social role dictates your social position. The ‘traditions’ of gendered assignments such as a man being dominant, strong, and competitive where as a woman is known to be caring, giving, and compassionate are still at play within a society. Men are affected by crisis and complicit masculinity. Women are affected by stereotypical notions of their natural abilities and are discriminated against in areas such as the labour market where inequalities still exist even though legislation such as the Equality Pay Act 1970 and the Equality Act 2010 are in place. Reviewing the studies presented in this essay it could be said that as a society men and women both have a long way to go to eliminate gender

    Read More

  • Market Segmentation, Positioning and targeting for BMW

    1338 Words  | 3 Pages

    Market Segmentation, Positioning and targeting for BMW 1.1 Introduction This report aims to examine the market segmentation, positioning and targeting of BMW (automobile company). BMW will be examined giving information about the company and where it is now and any recommendations that we feel are appropriate. 1.2 BMW Company Profile BMW was formed in 1917, from the merger of two small aero engine makers. Their famous blue and white symbol stems from the colours of the Bavarian Luftwaffe and is said to resemble the view of the one of their plane through a propeller. BMW is renowned for its sporty, sophisticated & luxury image which has been built up since the 1970's with many motor sport victories ranging from Touring Car to Formula 1.

    Read More

  • The Pros And Cons Of Biofuels

    1326 Words  | 3 Pages

    Biofuels have been around as long as cars have. At the start of the 20th century, Henry Ford planned to fuel his Model T’s with ethanol, and early diesel engines were shown to run on peanut oil. But discoveries of huge petroleum deposits kept gasoline and diesel cheap for decades, and biofuels were largely forgotten. However, with the recent rise in oil prices, along with

    Read More

  • Market Segmentation Of Airline Industry

    718 Words  | 2 Pages

    Market segmentation means dividing the market into distinct groups that have common needs and will respond similarly to marketing action. Each segment must be unique, have common needs, and respond in a similar manner to marketing efforts. Target market is the group of potential customer that has been selected by business to focus its marketing efforts towards. This is the group the business wants to sell its products/services to. Positioning refers to the image created in the minds of customer of its product or brand. It is a perception created in the minds of the consumer relative to that of its competitors.

    Read More

  • Consumer Behaviour: The Needs And Motivation Of Digital Camera

    1980 Words  | 4 Pages

    Every company wants to understand why people decide to buy its products or others. Firstly, we have to understand why people buy certain kind of product. People buy products because they need them. A need is activated and felt when there is a sufficient discrepancy between a desired or preferred state of being and the actual state. (Engle£¬Blackwell and Miniard. 1995. p407 ) For example, when you feel hungry, what you needs is some food. It is very important for marketer to understand the needs of consumers. All the consumers may have the same needs, but the ways which they satisfy what they need are different. Here is a example, Chinese people would choose rice when they feel hungry, whilst British people may choose bread to satisfy their needs.

    Read More

  • Hilde Lindman What Is Feminist Ethics Analysis

    723 Words  | 2 Pages

    Gender could be used as a power that derives from social institutions and morality. There are relations to power that illegitimately revolve around what can be morally justified in feminist ethics. And it is shown in Hilde Lindmann’s chapter in, What is Feminist Ethics. Throughout the beginning of Lindeman’s chapter, she begins with defining feminism, considering two kinds of definitions commonly used for this subject. However, initially rejects both in favor of a third. The first is her observation that shows that people often view feminism as a movement that motivates woman to have the social equality that men have “Men remain the point of reference, theirs are the lives that woman would naturally want.” (137) The confliction that comes from

    Read More

More about Market Segmentation

Open Document