The process of defining and subdividing a large homogenous market into clearly identifiable segments having similar needs, wants, or demand characteristics. Its objective is to design a marketing mix that precisely matches the expectations of customers in the targeted
Market segments will allow business/company to create product differentiation strategies to target to a specific group.
Product differentiation is when a business make a product stands out. So a company will do everything to make the product stand out and aim it at an audience.
Psychographics segment study the personality, values, attitudes, interests, and lifestyles. So companies will focus on one of them and decide to produce a product for that particular group.
Behaviour segmentation focus on form of market segmentation that groups consumers based on specific behavioural patterns they display when making purchasing decisions enabling producers to adapt their marketing approach to specific groups. Grouping patterns may include such behaviors as spending, consumption, life style, usage, and desired benefits.
Product related segment - The method of identifying consumers by consumption or usually categorized psychographics by the amount of product usage or demographically.
Demographic segment focus on age, gender, income and lifestyle
Company that make a product appeal to a specify group of customers sees a growth within that product and make a lot of sales because it appeals to them. Company then will sale more of it to make more profit.
Age takes a huge part. Sainsbury’s clothing will separate their section to different age such as kids and adults. Some products will be label for example clothing which are for 11-12years old.
Sainsbury’s also have a toy section which is likely to be aimed for little children’s
Some products may have a minimum and maximums age limit.
They do this to attract the age group. They also do this to get more sells because that product is popular for that age group.
Colours on a product can also target on groups of customers. For example if a product is pink you immediately think that it is targeted for females because of its colour.
Products that are only targeted for male my feel that they would not want associate their product with woman but as soon as they see that a product is only for men they will buy it immediately.
Some Sainsbury product will have a label on them saying’ only for men’ or ‘only for women’ they do this because male and female behave differently so they will buy different things.
They target to different genders to increase sales for their needs because male and female have act differently.
Business that focus on people who have low and high income which can or cannot afford the product. Sainsbury will produce their own brand product for people who can afford them rather than buying their finest or premium product. Sainsbury’s will also offer discount or have a sale on product. They target people who have low income so that they are able to afford to buy Sainsbury’s products because it is cheap.
Sainsbury’s will look at people lifestyle for example what they doing, what are their hobbies and their interest. If a company like Sainsbury’s sells fitness equipment we immediately know that the product will be targeted for people who want to be fit or are already fit and want to buy new equipment. They do this to know more about people’s life style and produce products for the type of group to also increase sells.
Peoples personality will be targeted on different products for example in…