market segmentation targeting and positioning Flashcards
what is market segmentation
dividing a market into smaller segments with distinct needs characteristics or behaviours that require separate marketing strategies
what are the four different market segmentations
demographic
psychographic
geographic
behavioural
what is geographic segmentation
divides the market into different geographical units such as nations regions states countries cities and neighbourhoods
what are the factors that are looked at in geographic segmentation
location
time zone
climate and season
culture
language
urbanity
what is demographic segmentation
this is the who separates the market based on age gender ethnicity religion level of education occupation income and family structure
what is behavioural segmentation
this is the how divides the market into segments based on purchase behaviour
benefits sought
customer loyalty
customer journey stage
engagement
satisfaction
what is psychographic segmentation
this is the why is divides the market into segments based on
personality
lifestyle
social status
activities interest and opinions
attitudes
what are the requirements for effective segmentation
needs to be:
measurable
accessible
substantial
differentiable
actionable
measurable
the size, purchasing power and profiles of the segments can be measure
accessible
the market segments can be effectively reached
substantial
the market segments must be large and profitable enough
differentiable
the segments need to conceptually distinguishable and respond differently to different marketing mix elements and programs
actionable
effective programs can be designed for attracting and serving segments
how do you evaluate market segments
- segment size and growth
- segment structural attractiveness
company objectives and resources
