market segmentation

Question 1

what is a market segment

Answer 1

part of a whole market where a customer group shares characteristics

Question 2

how do businesses use market segmentation

Answer 2

focus on one product for a specific segment, produce many products for several segments, target products at all consumers

Question 3

what is location segmentation

Answer 3

dividing consumers based on their region or climate

Question 4

how does lifestyle segmentation work

Answer 4

classifies consumers by their interests and lifestyles

Question 5

what is demographic segmentation

Answer 5

dividing consumers by age, gender, income, status, religion, or ethnicity

Question 5

how does social class influence segmentation

Answer 5

targets based on employment status

Question 5

how does age affect market segmentation

Answer 5

teenagers want trendy products, while adults prefer practical items

Question 6

how does income affect market segmentation

Answer 6

high earners want luxury, low earners prioritize affordability

Question 7

how does ethnic origin affect segmentation

Answer 7

different cultures have specific needs and preferences

Question 8

what are the benefits of market segmentation

Answer 8

increased revenues by targeting the right group, more loyal customers as needs are met, avoids wasteful promotions, allows targeting of a broader range of goods to different groups