Marketing and Business Tips

segmentation is The process of dividing a larger market into smaller pieces based on one or more meaningful, shared characteristic “. To carry out market segmentation, marketing activities can be made more directional and company owned resources can be used more effectively and efficiently in order to give satisfaction to the consumer. In addition the company may conduct marketing programs to meet the needs of a separate characteristic of each segment.
There are a number of variables including: segmentation
1. Demographic
This segmentation is done by dividing the market into groups based on demographic variables such as: age, gender, family size, income, race, education, occupation, geography.
2. Physiography
This segmentation is done by dividing the market into different groups according to social class, lifestyle, personality, and others. Demographic information is very useful, but it doesn’t always provide enough information to split customers into segments, so that the necessary segments based on their psychologists to better understand the characteristics of the consumers.
3. Behavior
This is done by dividing the segmentation of consumers into segments based on how behavior, feelings, and the way consumers use/consumption situation, and brand loyalty. How to make this segment of the market by dividing it into users and non-users of the product.

In order for the market segment can be useful then it should meet some characteristics:
• Measurable: size, purchasing power, and the segment should be measured profile although there are some variables that are difficult to measure.
• Accessible: market segment should be accessible and be served effectively.
• Substantial segments of the market should be enough: a large and profitable to be served
• Differentiable: segments can be separated conceptually and give a different response against the elements and different marketing mix.
• Actionable: effective Programs can be created to attract and serve the segments in question.
Steps in developing segmentation:
1. Segment the market using the request variables, such as the needs of consumers, the benefit is sought, and the situation of usage.
2. Describe the market segment is identified by using the variables that can help companies understand how to serve the needs of consumers and how to communicate with consumers.