Market Segmentation Flashcards
Market segmentation
is the process of dividing a total market into market groups consisting of people who have relatively similar product needs, there are clusters of needs.
Segmentation methods
Geographic- /country - city -climate
Demographic- / age - gender - income
Psychographic-/ lifestyle - Activity- interest
Behavioral-/ engagement - occasion
Market segment analysis:
Description.
Percent of your overall sales this segment accounts for.
What, exactly, this segment wants and needs.
How this segment uses your product.
What sort of support this segment needs.
The best ways to advertise to and communicate with this segment.
The price sensitivity of this segment (are they largely price elastic or price inelastic?).
Repeat this until you feel that you have identified all of your major segments.
