MARKET

SEGMENTATION
Presented by-
Group 11
Avik Sutar (20HS61002)
Priyankar Datta Banik (20HS61011)
Sankalp Sharma (20HS61014) https://youtu.be/WvUBSm74mhs
Sekhar Pal (20HS61015)
Udit Gour (20HS61019)
 Introduction
• Indian automobile industry is a $118 bn industry and is expected to
reach $300 bn by 2026.
• The auto industry contributes 7.5% of India's GDP and employs 35
million people
• The industry currently manufactures 26 mn vehicles including Passenger
Vehicles, Commercial Vehicles, Three Wheelers, Two Wheelers and
Quadricycles in April-March 2020, of which 4.7 mn are exported
• Electric Vehicles (EVs) have caught the attention of automakers and
policy makers alike in India and around the world and is the future of the
auto industry
• Due to Covid-19, auto industry has suffered huge losses and will
continue to do so for some time since it will face the challenge of
dependence on migrant workers
 Major Players in India
• Domestic Car Manufacturers
• Commercial & Tractor Manufacturers
• Luxury car manufacturers
New and Upcoming Players in India
TYPES OF MARKET SEGMENTATION
 Geographic
Target customers based on predefined
geographic boundaries. Differences in
interests, values and preferences vary
dramatically throughout city, states,
regions and countries.
Psychographic
Focus on intrinsic traits the customer has.
Psychographic traits can range from values,
personalities, interests , attitudes,
conscious and subconscious motivators,
lifestyles and opinions.
Demographic
The process of dividing market through
variables such as age, gender, education
level, family size, occupation, income and
more. This is one of the most widely
used strategies amongst the marketers.
Behavioral
Break down the way the customers go
through their decision making and
buying processes. Attitudes towards the
brands , the way they use it and the
knowledge base are all the behavioral
examples.
 GEOGRAPHIC SEGMENTATION
Aspects of Geographic Segmentation

Location Urbanicity Climate Culture

• Refers to world’s regions,
different states, countries,
cities and neighbourhood.
• It can benefit both large and
small businesses.
• It considers whether an
individual lives in urban,
suburban, exurban or rural
area.
☼
• Brands consider this one of • Play huge role in
the big factors. geographical segmentation.
• There are 5 climate groups: • Influenced by things like
tropical, dry, mild, religion, communication,
continental and polar. environment and social
behaviour.
 Geographic Segmentation for Automobile Industry

In a country like India, the geographical segmentation becomes one of the most important factors that will be taken
into consideration by the automobile companies. Since the conditions are different in different regions, the
companies will take the following points in consideration:

1. Manufacturers of tractors will target rural areas where agriculture is the key.
2. Commercial vehicle companies would segment market based on concentration of industries in the region.
3. Small car makers will target developing cities and townships.
4. Luxury car makers will target metropolitan regions for the sale of their cars.

Tractor
Commercial Vehicles Small Car Makers Luxury Car Makers
Manufacturers
 DEMOGRAPHIC SEGMENTATION

Marital
Age Gender Income Education Occupation
status
DEMOGRAPHIC SEGMENTATION
DEMOGRAPHIC SEGMENTATION
DEMOGRAPHIC SEGMENTATION
 DEMOGRAPHIC SEGMENTATION
 Advantages of Demographic Segmentation
 The information of automobile industries is readily available.
 Automobile industries, don't miss out on the growing market is by providing
employees who are bilingual to work with their customers.
 Customer retention and loyalty..

 Disadvantages of Demographic Segmentation

 It can make an automobile industries vulnerable to competitors.
 Automobile industries may spend all of its time and efforts on a specific
demographic only to find out its efforts were wasted on the wrong section of the market.
 Social
Status

Lifestyle Personality

PSYCHOGRAPHIC
SEGMENTATION

Activities,
Values and
Interests and
Attitudes
Opinions
 PSYCHOGRAPHIC SEGMENTATION
o Emotional – Care for environments ,usage of electric vehicles
o Rational – Appeals to economic stability
01 Values and Attitu

o How consumer spend their time

o Influence by the environment around them
02 Lifestyle
o Bikes, Cars are becoming a part of lifestyle

o Snob Effect & Bandwagon effect

o it cannot be afforded by the lower income groups easily and frequently.
03 Social Status

o Introversion/extroversion have affect on the segmentation.

o Mostly portraying compulsive, authoritarian and ambitious 04 Personality
personality(ex: Bajaj tags “Definitely male”)

o Just getting around

o Family needs 05 Activities, Interests &
o Off roaders
Opinions:
 BEHAVIOUR SEGMENTATION
• Behavioural Segmentation divides and targets customers according to their behaviour.
• Process of dividing the total market into smaller homogeneous groups based on customer buying
behavior.
• People showing similar buying behavior can be clubbed together in a single group and they can then be
targeted. 
• On the basis of buying patterns of customers like usage frequency, brand loyalty, benefits needed, during
any occasion etc.

Usage Based User Status Interest Based

Eco-friendly Purchasing Behaviour Customer Loyalty

 BEHAVIOUR SEGMENTATION
ELEMENTS AFFECTING BEHAVIOUR

Demographics Culture Technology Economics

TRAITS

Personality & Environmental

Attitude Motivation Knowledge
lifestyle awareness
 BEHAVIOUR SEGMENTATION

Drivers for buying a car

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18
10

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D isposa ble I nc ome Sa fet y on R oa d Fa mily nee ds Fa mily siz e L ife st yle
 https://youtu.be/WvUBSm74mhs

THANK-YOU