Business markets segmented
One of the steps that goes into targeting and defining particular markets is what we called market segmentation. It is the procedure of dividing a market into a different group of buyers that require diverse products or marketing mixes. A key aspect to success in today’s market place is finding slight differences to provide a business the marketing edge. Businesses that aim specialty markets will support its products and services more efficiently than a business aiming at the “standard” customer.
Furthermore, opportunities in marketing rise when segmented groups of customers and customers with changeable desires and wants are recognized. Markets can be segmented or targeted by means of a variety of factor. The bases for segmenting consumer markets include: • Demographical bases (age, family size, life cycle, occupation) • Geographical bases (states, regions, countries) • Behavior bases (product knowledge, usage, attitudes, responses) • Psychographic bases (lifestyle, values, personality) Moreover, big companies segment their markets by conducting wide market research projects.
This research is frequently too luxurious for small businesses to invest in; however there are substitute ways for to a small business to segment their markets. There are several reasons for dividing marketing into smaller segments. Any time you think there are important, measurable differences in your market you must consider market segmentation. For that marketing will be easier and become more efficient with your marketing resources.
Reference: How consumer and business markets are segmented, Retrieved on May 25, 2006 at http://marketing. about. com/cs/sbmarketing/a/smbizmrktseg. htm