INTRODUCTION TO MARKET

SEGMENTATION

MARKET SEGMENTATION TYPES OF MARKETS

BUSINESS MARKET GOVERNMENT MARKET CONSUMER MARKET

MARKET SEGMENTATION VARIABLE GEOGRAPHIC SEGMENTS DEMOGRAPHIC SEGMENTS PSYCHOGRAPHIC SEGMENTS BEHAVIORAL SEGMENTS

CONTENTS

MARKET SEGMENTATION Marketing segmentation is the process of

aggregating individuals and businesses along similar characteristics that pertain to the use , consumption, or benefits of a product or service.

The result of market segmentation is groups of customers called market segments.

EXAMPLE

If internet users behave different at work than at home, marketers can capitalized on these difference by targeting each as a separate segment .

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TYPES OF MARKETS

Business market Government market Consumer market

BUSINESS MARKET It involves the market of products to

businesses, government and institutions for use in the business operation, as components in the business products.

The online B2B(business to business) marketing is huge because a higher proportion of companies are connected to the internet than consumers , especially in developing countries.

Much of the B2B online activity is transparent to consumers. Go Back

GOVERNMENT MARKET Businesses wishing to sell to governments face

challenges unique to this market. The government agencies have many rules for suppliers to follow regarding qualifications, paper work and so on.

The government agencies are generally particular about timely delivery of quality products at reasonable prices.

The good news is that small and large businesses usually have equal chance of selling to government. Go Back

CONSUMER MARKET

The consumer market involves marketing goods and services to the end consumer.

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MARKET SEGMENTATION VARIABLE

Geographic segments Demographic segments Psychographic segment Behavioral segment

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GEOGRAPHIC SEGMENTS

Product distribution strategy is a driving force behind geographic segmentation. A consumer goods online retailers , such as buy.com , we want to reach only customers in countries where it distributes products. Important geographic segments for e-marketing are:

Languages on web pages Local marketing Go Back

DEMOGRAPHIC SEGMENTS Demographic comes out from the word demography which

means “study of population”.

As people age their needs and wants change, some organizations develop specific products aimed at particular age groups for example  nappies for babies, toys for children, clothes for teenagers and so on.   Gender segmentation is commonly used within the cosmetics, clothing and magazine industry.

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PSYCHOGRAPHIC SEGMENTS User psychographics includes personality, values, lifestyle,

activities, interests and opinion(AIO).for example: Lifestyle groups

Mobile High valued house/flat Good Salary Young branded car

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BEHAVIORAL SEGMENTS To commonly use behavioral segmentation

variables are benefits sought and product usage.

It divides buyers in to groups based on there knowledge , attitudes, uses or responses to a product. Many marketers believe that behavior variables are the best starting point for building market segments.

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THANKS….

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