It’s the plan for meeting a specific marketing goal for a specific marketing campaign. Your ability to set goals and to plan successful marketing strategies depends much on the information you acquire about your target market. So one of the benefits of market segmentation is that it provides you with that information. This also improves marketability of your product or service enabling you to determine your target market’s wants and needs. You just use multiple demographic segments to determine shared characteristics across segments, including personality (psychographic) and behavioral characteristics.
This segmentation method assumes that consumers in the same demographic will have similar needs. This information is easily obtained. It is one of the least popular ways to segment your market. Proper integration with other forms, such as behavior, psychology, and geography, segmentation will begin by creating more targeted marketing than more manageable parts. However, this form of segmentation does not explore why consumers buy what they do, so it does not provide insights into what motivates consumers to purchase certain services or what types of people prefer brand products than other brands.
Different generational cohorts bring a variety of value sets and traits that have to be accounted for when dealing with employees from different generations. Studies show that different generations hold different expectations and value different aspects of their job (Eisner, 2005; Lancaster & Stillman, 2002; Macky, Gardner, Forsyth, Dries, et al., 2008; Smola & Sutton, 2002). Based on the work of Kupperschmidt (2000), Strauss and Howe (1991) and Mannheim (1952), we define a generation as a group of people or cohort that share birth years, significant experiences of life events and therefore mutual value sets. In this study, belonging to a generation covers the physical existence in a certain period, the experience of the same events as well
Marketing is an art to deliver messages and values added for products or services to the customer. Moreover, different messages should be delivered to different customers according to their needs. Thus, segmentation of customer in the market is requisite in order to fulfil customer needs and demand and to gain a competitive advantage over their competitor by satisfying the customer. In order to serve a particular segment of customer, identification of customer profile with its speciality characteristic is required to build a long-term relationship. The segmentation of market will lead a company to establish their brand and corporate image to the customer after targeting and positioning according to the specific portion of market.
Segmentation, Targeting and positioning, also known as STP are an essential part in marketing today. This model is important for generating marketing communication strategies and it aids the marketers to prioritize schemes and deliver personalized and pertinent messages to diverse audiences. This approach is audience oriented rather than product focused in terms of communication, which results in conveying appropriate messages to the members who are more commercially appealing. Segmentation benefits the managers in finding out the area on which they have to concentrate on in terms of geography, demographics, social factors or behaviors. Targeting is the next step after segmentation and requires that the needs of the target market are met.
In business world, market segmentation is considered to be a most important tool in enabling marketers to better meet customer needs and requirements. It is the process of splitting the customers, or potential customers, in a market into different groups, or segments, within which customers share a similar level of interest in the same,
Recognised outcomes include an improved understanding of customers, more efficient resource allocation, better-tailored marketing programmes, and enhanced competitiveness (Albert, 2003; Beane and Ennis, 1987; Freytag and Clarke, 2001). The rationale behind marketing segmentation is to allow businesses to focus on their consumers’ behaviors and purchasing patterns. If done effectively, marketing segmentation allows an organization to do its highest return on investment (ROI) in turn for its marketing and sales expenses. If an organization markets its products or services to a consumer or business, it should focus on the various types of segmentation. Kotler (2010) describes segmentation as the classification of consumers within a market that share related needs and set up related purchasing behavioral habits.
Market segmentation helps the advertisers to devise suitable marketing procedures and limited time plans as per the tastes of the people of a specific market fragment. A male model would watch strange in a commercial advancing female items. The advertisers must have the capacity to relate their items to the objective
It is critical for the effectiveness of every market segment. With it, marketers can also priories their target audiences. If segmentation shows that some consumers would be more likely to buy a product than others, the attention and resources can be better allocated (Dibb, S. 2010). 7. CUSTOMERCLASSIFICATION In the retail sector, satisfying customers and having loyal customers have been so important for years.