Marketing Segmentation and Targeting Essay Example | Topics and Well Written Essays - 1500 words

Marketing Segmentation and Targeting - Essay ExampleThis research will begin with the statement that A market, in contemporary full terms, is defined as a place where twain buyers and sellers come to meet with the object glass of exchanging of goods or even services. In this text, the general definition of a market is a group of both people as well as businesses with a clear interest, purchasing ability and willingness to spend approximately money to get the goods or services to satisfy their specific needs. Market segmentation is the grouping of customers who whitethorn be individual or corpo enumerate into a pool of customers with similar demands (goods and services) in terms of prices and designs. It crowd out also be termed as a trade strategy where a large market is change integrity into various subsets gibe to the customers demands. A good market segment should be homogenous meaning wholly customers in a specific segment would prefer a common product quality. on the o pposite hand, buyers from different segments are expected to have different products and services tastes. However, all these should yield many returns. The term can also be described as grouping customers with similar needs and charged otherwise from other groups or segments. Statistical analysis is done on some characteristics to come up with a certain market segment. Among the characteristics are the customers location, price, income, religion, and gender. Market segmentation is a business strategy upon which other marketing decisions are base.... The first is the geographic segmentation which is determined by various regional variables like nations, neighborhoods, climate, and rate of population growth as well as the population density. Demographic segmentations consider age, level of education, income, status of family, occupational factors, and the customers gender. Psychographic market grouping is making use of psychological science to know customers well and is based on th e attitudes and the general customers lifestyle as well as values. Finally, behavioral market differentiations is done according to the rates at which the customers use the goods or services in question, price sensitivity, how loyal the customer is to a certain brand, as well as the benefits attained. The greatest purpose of market segmentation is to enable gross revenue activities to put more emphasis on a certain market segment with the highest chances to buy the products or services. If properly done, higher sales will be realized. In other perspectives, it is aimed to improve business or companys competitive nature as well as serve the customers in a better way which translates to better output such as sales increase, better market share, and a good business image. Other benefits of this market strategy is to get to the bottom understanding of the customers needs and this translates to melioration of a company or business in general. This confers on the business a competitive usefulness due to the better services offered to the grouped customers. The other advantages are that the goods or services termed as antiphonal could be designed to satisfy the wants of a certain market place. Secondly, it can be used to purpose on effective costs and creating awareness on a certain