MARKET SEGMENTATION

PRESENTED BY

NEERAJ
AND
NIDHI
MARKETING
SEGMENTATION

 “Market segmentation consists of taking the

heterogeneous market for a product and
dividing it into several sub-market or
segments, each of which tends to be
homogeneous in full significant aspects.”

 Breaking down market into sub-group is

called market segmentation.
WHY USE MARKET
SEGMENTATION

 the main reason is that the information would

allow more sales to be made.

 to gain greater knowledge about customer so that

it can vary the product.

 prevent promoting product to the wrong people.

 to target particular groups

 to market a wider range of differentiated product.

OBJECTS OF MARKET
SEGMENTATION

 According to Philip kotler, “The purpose of

market segmentation is to determine
difference among the buyers which may be
consequential in choosing among them or
marketing to them.”
 Therefore, the producer can frame his
marketing policies and strategies on the basis
of these differences.
IMPORTANCE OF MARKET
SEGMENTATION

 The market segmentation affords the

following advantages to the seller and
producer:

1. Adjustment of product and marketing

appeals.
2. Better position to spot marketing
opportunities.
FACTORS INFLUENCING
MARKET SEGMENTATION

 Gender
 Age
 Income
 Occupation
 Life-style
 Hobbies
 Religion and Race
 Level of education
 Social class
 Geographic location
BASES OF MARKET
SEGMENTATION

 A market can be segmented by

various bases on industrial markets
are some what differently from
consumer market, as describe below:

1. Consumer market segmentation

2. Industrial market segmentation
CONSUMER MARKET
SEGMENT

 A basis of segmentation is a factor that

various among groups with a market, but that
is consistent within a groups. One can identify
for primary basis on which the segment is a
consumer market. It’s includes
 Geographic segment
 Demographic segment
 Psychographic segment
 Behavioral segment
INDUSTRIAL MARKET
SEGMENT

 While many of the consumer market

segmentation bases can be applied to
business and organization. The different
nature of industrial market often leads to
segmentation on the following basis-
 Geographic segment

 Customer types

 Buyers behavior
BENEFITS OF MARKET
SEGMENTATION

 Sales should increases.

 Satisfy customer needs more successfully.

 Customer feedback more easily obtained.

 Reduced costs as money is not wasted on

ineffective advertising and promoting.