Is segmentation effective?

That is, does one or more market groups appear to be identifiable and measurable, accessible, substantial, and responsive?

Essay , 2000 , 8 Pages , Grade: 2,0

Business economics - Trade and Distribution

Is segmentation effective?
That is, does one or more market groups appear to be identifiable and measurable, accessible, substantial, and responsive? If you have a market for a product with one or more consumers you have the possibility to segment this market, because the consumers wanted different types of a product. If you ask twenty people why they want for example a special kind of a car you probably would receive twenty different answers. Some see a car as a status symbol or others wanted to have a comfortable car and for a few people the price is the most important factor. Such a market called ‘heterogeneous market’. For this kind of market companies make market segmentation.
But what is market segmentation? Market segmentation is the process of splitting customers in different groups, segments consisting of people who have relatively similar product needs. The purpose is to design a marketing mix that more precisely matches the needs of individuals in a selected segment.

Inhaltsverzeichnis (Table of Contents)

• I. Introduction: Definition of segmentation...
• II. Conditions for effective marketing segmentation.
• 1.Segmenting consumer markets
• 1.1. Geographic Segmentation....
• 1.2. Demographic Segmentation
• 1.3. Behavioral Segmentation...
• 1.4. Psychographic Segmentation.....
• 2. The necessarily criterions for effectiveness.
• 2.1 Measurable and identifiable..
• 2.2. Accessible.
• 2.3. Substantial
• 2.4. Responsive..
• III. Conclusion: The opportunities of segmentation......

Zielsetzung und Themenschwerpunkte (Objectives and Key Themes)

This work examines the effectiveness of market segmentation in consumer behavior. It aims to determine whether dividing a market into identifiable, measurable, accessible, and responsive segments leads to improved marketing outcomes. Here are the key themes:

• The definition and purpose of market segmentation.
• The different types of market segmentation, including geographic, demographic, behavioral, and psychographic.
• The essential criteria for effective market segmentation, such as measurability, accessibility, substantiality, and responsiveness.
• The challenges associated with market segmentation, including difficulty in measuring psychographic variables and accessibility limitations.
• The potential benefits and opportunities of market segmentation for companies.

Zusammenfassung der Kapitel (Chapter Summaries)

I. Introduction: Definition of segmentation

This chapter introduces the concept of market segmentation, explaining that it involves dividing customers into groups based on their product needs. It emphasizes that segmentation is necessary for businesses to effectively address the diverse requirements of consumers in a heterogeneous market.

II. Conditions for effective marketing segmentation

This chapter delves into the key conditions for effective market segmentation. It discusses four primary categories of market segmentation – geographic, demographic, psychographic, and behavioral – and provides a brief explanation of each. The chapter also explores the necessary criteria for effective segmentation, including measurability, accessibility, substantiality, and responsiveness.

1. Segmenting consumer markets

This section examines the four main categories of market segmentation: geographic, demographic, behavioral, and psychographic. It provides examples and explanations for each type of segmentation.

2. The necessarily criterions for effectiveness

This section examines the critical criteria for effective market segmentation. It emphasizes the importance of identifying measurable, accessible, substantial, and responsive segments to ensure the success of marketing efforts.

• College: Waterford Institute of Technology
• Grade: 2,0
• Author: Dipl. Betriebswirtin (FH) Barbara Krolikowski (Author)
• Publication Year: 2000
• Pages: 8
• Catalog Number: V121115
• ISBN (eBook): 9783640249923
• ISBN (Book): 9783656835226
• Language: English
• Tags: That