market segmentation

Question 1

what is the definition of segmentation?

Answer 1

The process of identifying different groups of similar needs is called segmentation. The different groups of needs and wants are known as market segments.

Question 2

name the four segmentation methods

Answer 2

.Demographic
.geographic
.income
.behavioural

Question 3

whats the definition of demographic seg?

Answer 3

Identifies subgroups of the population based on their demographic profile or characteristics. e.g. age, gender, level of education, race and religion.

Question 4

whats the definition of geographic seg?

Answer 4

geographic segmentations defines market categories based on where people live e.g regions, cities or neighbourhoods.

Question 5

definition of income segmentations?

Answer 5

identifying subgroups of the market based on their levels of income and profession

Question 6

behavioural seg?

Answer 6

characterises subgroups based on the behavioural patterns of the consumer rather than their characteristics.

Question 7

give an example/case study of market segmentation

Answer 7

.Lego industry

Question 8

give some benefits of market segmentation

Answer 8

. advertising can be targeted at specific market segments so that advertising spending is more effective.
. Easier to understand the target market
. better serve the needs of the customers
. improve companies competitive position
. improved market share