What is market segmentation by authors?

The term ‘Market Segmentation’ has been defined by several authors as follows: Philip Kotler: “Market Segmentation is the sub-dividing of a market into homogeneous subsets of customers, where any subset may conceivably be selected on a market target to be reached with a distinct marketing mix.”

What is the best definition of market segmentation?

At its core, market segmentation is the practice of dividing your target market into approachable groups. Market segmentation creates subsets of a market based on demographics, needs, priorities, common interests, and other psychographic or behavioural criteria used to better understand the target audience.

What is known as market segmentation?

In marketing, market segmentation is the process of dividing a broad consumer or business market, normally consisting of existing and potential customers, into sub-groups of consumers (known as segments) based on some type of shared characteristics.

What are the benefits of marketing segmentation?

Benefits of the Market Segmentation

• Higher Rate of Success.
• Increases Profitability.
• Increases Competitiveness.
• Retention of Customer.
• Creates and Provides Market Opportunities.
• Effective Market Campaigning.
• Wise and Efficient Use of Resources.
• Higher Customer Satisfaction.

What are the 7 market segmentation characteristics?

Psychographic Segmentation 4. Behavioristic Segmentation 5. Volume Segmentation 6. Product-space Segmentation 7.

What is segmentation and its types?

At its core, market segmentation is the practice of dividing your target market into approachable groups. Market segmentation creates subsets of a market based on demographics, needs, priorities, common interests, and other psychographic or behavioral criteria used to better understand the target audience.

What are the 5 benefits of market segmentation?

Segmentation of target markets has several advantages.

• Determining market opportunities:
• Adjustments in marketing appeals:
• Developing marketing programmes:
• Designing a product:
• Media selection:
• Timing of marketing efforts:
• Efficient use of resources:
• Better service to customers:

What is the most important element of marketing mix?

Although the product is the most important part of the marketing function, it needs other elements intertwined in order to succeed, such as promotion, place, and price.

What is the definition of market segmentation in marketing?

Market segmentation is a recent development in marketing thinking and strategy. It is based on the natural variations found in a general or total market. Diversity is the basic characteristic of a market, be it a consumer market or industrial market. Marketers must understand natural diversity for effective marketing.

What are the steps in the segmentation process?

The seven steps market segmentation process consists of defining a market for segmentation, determining objectives of segmentation, choose one or more segmentation criteria, the attractiveness of segment, the profitability of segment, an acid test of positioning traits and designing an integrated marketing program for each sub-subsegment.

How is a market segmented to get better results?

A market may be segmented in various ways on the basis of product or service nature i.e. consumer product or service product and marketing goals. Most of the cases marketer uses more than one segmentation techniques for getting better results from the market. The marketer can follow these segmentation techniques given below:

How does psychographic segmentation work in the market?

Psychographic Segmentation divides the audience on the basis of their personality, lifestyle and attitude. This segmentation process works on a premise that consumer buying behaviour can be influenced by his personality and lifestyle.

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