Market segmentation notes

The identification of target customers groups in which customer groups in which customers are aggregated into groups with similar requirements and buying characteristics.

Market segmentation pdf notes

For nearly two decades, Synergy has been a trusted source for quantitative research and market intelligence. Target Market Strategies There are several different target-market strategies that may be followed.

Products are designed to be responsive to the needs of the marketplace: Targeting strategies usually can be categorized as one of the following: Purchasing Cycles Small companies may identify target markets through various consumer purchasing cycles.

Nestle promotes Nescafe all through the year in cold states of the country as compared to places which have well defined summer and winter season.

Chapter 9 Class Notes

The company may ask these consumers to provide information such as age, education, employment status, household size and income. A single-segment approach often is the strategy of choice for smaller companies with limited resources.

A difference is worth establishing to the extent that it satisfies the following criteria. A good market segmentation will result in segment members that are internally homogenous and externally heterogeneous; that is, as similar as possible within the segment, and as different as possible between segments.

Single-segment strategy - also known as a concentrated strategy. A marketer can choose to specialize in the needs of one occupation group. A market segment comprises of individuals who think on the same lines and have similar interests.

Travel agencies would not have similar holiday packages for bachelors and married couples. By using this kind of segmentation, it is not compulsory for the marketer of the organization to target the affluent customers.

To the consumer perception is reality. The segments must be reachable through communication and distribution channels.

The personalities of the products are designed in accordance with the personalities of the customers.

Market Segmentation - Meaning, Basis and Types of Segmentation

Once it gains a foothold, it can expand by pursuing a product specialization strategy, tailoring the product for different segments, or by pursuing a market specialization strategy and offering new products to its existing market segment.

Demographic - age, sex, fertility rates, migration patterns, and mortality rates, ethnicity, income, education, occupation, family life cycle, family size, religion and social class.

Variables that can be used to segment markets. How do marketers reach children. To speak to an analyst or to find out how to receive a copy of a Synergy report, please contact Heather Gallo at hgallo srgresearch. Consumer needs and wants change with age. Interested in low prices but high quality.

Indicates how media format changes due to changing population needs. Geographic -Climate, terrain, natural resources, population density, subcultural values, different population growths in different areas.

A firm that is seeking to enter a market and grow should first target the most attractive segment that matches its capabilities. You should concentrate on the perception of the customer and not the reality of the product.

Consumer Market Segmentation and Its Types

A woman would not purchase a product meant for males and vice a versa. Market segmentation splits up a market into different types (segments) to enable a business to better target its products to the relevant customers. By marketing products that appeal to customers at different stages of their life ("life-cycle"), a business can retain customers who might otherwise.

Market segmentation is the activity of dividing a broad consumer or business market, normally consisting of existing and potential customers, into sub-groups of consumers (known as segments) based on some type of shared characteristics.

Overview. The theory of labor market segmentation contrasts with the view of neo-classical economic theory, which posits the existence of a unified market for labor, consisting of buyers and sellers in open competition with each labor market is seen as functioning in the same way as other markets.

In this model, the only. Cambridge ditches OSJ label amid fee-based shift, segmentation strategy. Feb 06,  · B. Use a funnel approach.

Market Segmentation

For some CEOs, it might be helpful to think of the market selection process as a multiple staged. •Market segmentation is customer-oriented. Marketer will identify the customer need and want then only decide if it is practical to develop marketing mix to satisfy those wants.

Market segmentation notes
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Market Segmentation - Meaning, Basis and Types of Segmentation