Download MKT-3 Market Segmentation Powerpoint

Market Segmentation
Dividing the market into small,
manageable segments.
Describe This Customer
Watches a lot of late night tv
Loves to eat snack foods
Shops at discount stores
for clothing & food
Drinks generic coffee
morning and evening
Bowls with buddies on
Tuesday nights
Market Segmentation
• A way of analyzing a market by specific
characteristics in order to create a target
market.
• A business can customize its product
offering and marketing mix to that target
market.
• Businesses may segment a market by
demographics, psychographics,
geographics, and product benefits.
Demographics
• Refers to statistics that describe a
population in terms of personal
characteristics
• These include age, gender, income, ethnic
background, education and occupation.
Age Breakdown
Psychographics
• Involves studies of consumers based on
social and psychological characteristics.
• Includes people’s attitudes, values, and
lifestyles.
• People who share common interests
usually have similar attitudes.
Geographics
• Refers to segmentation of the market
based on where people live.
• You can refer to local, regional, national,
or even global markets.
• Marketers study where their customers
live in order to decide which media to use
and where to market their products.
• Marketers also study geographics in
relation to ethnic concentrations.
Product Benefits
• Segmenting a market by product benefits
involves studying consumers’ behaviors,
needs, and wants.
• Companies market benefits, not simply the
physical characteristics of a product.
Describe this Market Segment
Look at the image and write down five types of products or
services you think that these people might buy.
We are targeting women under
the age of 40: This is an
example of:
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•
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•
A. geographics
B. demographics
C. psychographics
D. product benefits
We are targeting consumers
with oily hair. This is an
example of
•
•
•
•
A. geographics
B. demographics
C. psychographics
D. product benefits
•
•
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•
Our target market is people who
live near beaches. This is an
example of:
A. geographics
B. demographics
C. psychographics
D. product benefits
Describe This Target Market
Look at the image and write down five types of products or
services you think that this person might buy.
Describe This Target Market
Look at the image and write down five types of products or
services you think that this person might buy.
Describe This Target Market
Look at the image and write down five types of products or
services you think that this person might buy.
Describe This Target Market
Look at the image and write down five types of products or
services you think that this person might buy.
Describe This Target Market
Look at the image and write down five types of products or
services you think that this person might buy.
Describe This Target Market
Look at the image and write down five types of products or
services you think that these people might buy.