Segmentation (3) Flashcards
Marketing segmentation is…
dividing the larger market into smaller segments based on meaningfully shared characteristics or needs
The essence of segmentation is to _____ the population to market more effectively
divide
Why is it important to divide the market?
Everyone in the population isn’t the same, and everyone doesn’t have the same needs.
Segmenting the market allows a marketer to…
- to focus on those segments that most need the product.
- to adjust the marketing mix of a product to provide more value to a segment.
- market efficiently and thereby increase ROI
Effective segmentation can bring more ____ to the customer, and, in turn, more customer ______ and long-term _______ for the company.
value, satisfaction, profitability
Geographic location segmentation is simply dividing up the market according by consumer ______.
location
a demographic is…
a vital or societal statistic of a human population
Common ways to segment with demographics are…
- age
- gender
- ethnicity
- Income
- Marital status
- Number of children
- occupation
Common ways to segment with geography are…
- Country
- City / Rural
- Zip Code
- Population Density
- Region within the Country
- Mountains, Desert, Tundra
Examples of effective geographic segmentation are…
- target stores, for example, have a different mix of products for different regions. In the south, the stores sell more lightweight clothing items and flip flops.
- marketer who sells ski equipment, for example, can divide the market to focus on areas with, say, a mountainous terrain near ski resorts.
- Or, a small, local grocery store might only want to market to those consumers in the surrounding neighborhoods.
Psychographic segmentation involves segmenting the market by consumer _____, ______, _____, and ______.
- activities
- values
- interests
- opinions/beliefs
For psychographic information, marketers often need to ask customers about their _____, _____, or _____, which isn’t quite as clear cut as asking about customers’ ages or incomes.
- beliefs, values, attitudes
Demographic data is usually ______, and data from sources such as the US Census Bureau make a wealth of demographic information readily available.
objective
Common ways to segment with psychographic data are…
- Values
- Beliefs
- Attitudes
- Feelings
- Personality
- Lifestyle
- Activities and Interests
Religious and Political Beliefs and Affiliations
why is psychographic information to know?
it can serve as a strong driving force behind some product purchases.
