Question

We are aware of the various ways that one can segment a market. We can target men, women, baby boomers or college students.

liberals and conservatives make purchasing decisions. what is the value of this. Assume you are a marketing manager for a Fortune 500 company. What specific details can you share about marketing segmentagtion.

Answer 1

Marketing segmentation is necessary for selecting the target consumers for the specific product or brand. As the purchase decisions made by liberals as well as conservatives varies due to their difference in thinking process. Like for example liberals try to purchase the products which are unique while conservatives tend to purchase products that are luxuries.Therefore, before marketing a product it is necessary for marketing manager to identify the market segments and target group of consumers, which is necessary to increase the sales and profit maximization of the company.

Specific details about the marketing segmentation are as follows :

a. Smaller subsets of the customers are divided considering the age, demand, preference of the potential customers.

b. While creating a marketing segment it is important to put the subsets of the individuals according to their likes, interests and those who are like minded.

c. Marketing managers create the various types of marketing segments such as :

1. Geographical segmentation : These segments are divided according to the different geographical locations and tastes of the individuals, as needs and wants of the customers are different for different locations, therefore to form effective marketing strategy it is important to classify the market as per the region, country and locality residing there.

2. Psychological segmentation : These segments are divided according to the age, lifestyle, interests, occupational and marital status of the customers as these factors can impact the buyer's buying decision. Therefore, creating a marketing strategy that attracts such groups is necessary.

3. Behavioral segmentation : These segmentation is done according to the loyalty of the customers towards the certain product or brands. The attitude, gender of the potential customers impacts the buying decision.