Market Segmentation

Question 1

What is demographic segmentation?

Answer 1

Age gender income etc

Question 2

Psychographic segmentation

Answer 2

Social class

Question 3

Behaviouristic segmentation

Answer 3

Behaviour patterns

Question 4

What is geographic segmentation?

Answer 4

This is based on the geographic patterns

Question 5

Geographic segmentation could compare

Answer 5

Spending levels 
Income levels 
Employment levels 
Buying habits 
E.g oatcakes are popular in stoke on Trent whilst battered mars bars are popular in South Birmingham area

Question 6

Demographic segmentation could compare

Answer 6

Age
> people of different ages buy different products
Gender
> men and women behave differently and buy different things
> according to research men are more likely to buy products that are in green, black or blue packaging!
Income
> people with different disposable income levels will purchase different products even within the same brand
> that is why car manafactures make top of the range and basic models

Question 7

Physchographic segmentation

Socio economic groups must be used with care since

Answer 7

> they refer to the head of household
they DO NOT refer to income levels
E.g there are a number of very wealthy OAP’s in the UK (and a number of poor teachers)
they make assumptions about typical lifestyles of each group

Question 8

Behaviouristic segmentation

This considers consumers behaviour patterns including:

Answer 8

> what people buy
how often people buy
how loyal customers are to certain brands