TARGETING AND SEGMENTING THE MARKET

Question 1

What is a target market?

Answer 1

A group of customers who exhibit similar characteristics.

Question 2

What is market segmentation?

Answer 2

A process used to make identifying a target market easier for an enterprise by dividing a market into groups called market segments.

Question 3

What is demographic market segmentation?

Answer 3

It allows enterprises to market products to those with specific common variables such as age, race, religion, gender, family size, ethnicity, income, and education level.

Question 4

What is geographic segmentation?

Answer 4

It helps an enterprise target products or services at people who live in, travel, or shop in a particular location.

Question 5

What is psychographic segmentation?

Answer 5

Psychographic segmentation helps enterprises identify and group customers based on their attributes, lifestyle choices, social class, and personality characteristics.

Question 6

What is behavioural segmentation?

Answer 6

Behavioural segmentation distinguishes potential and current customers in terms of their spending behaviour, including how much they spend, consume, usage, and their loyalty to the brand and desired benefits.

Question 7

What are the types of markets?

Answer 7

The types of markets include B2B, B2C, mass markets, and niche markets.