Quick Answer: What Are Market Segments Examples?

How do you identify market segments?

Identifying target customer segments to focus your marketing resourcesStep 1: Create a list of target segments.

Step 2: Narrow the search to the most promising target segments.

Step 3: Select the target customer that offers the greatest potential.

Step 4: Validate current thinking and assumptions using market research..

What are the 5 main different segments for demographics?

Demographic segmentation groups customers and potential customers together by focusing on certain traits that might represent useful markets for a business. What are the 5 main different segments for demographics? The five main demographic segments are age, gender, occupation, cultural background, and family status.

What are the characteristics of good market segment?

Regardless of your approach, a useful segmentation should include these six characteristics: Identifiable. You should be able to identify customers in each segment and measure their characteristics, like demographics or usage behavior. Substantial. … Accessible. … Stable. … Differentiable. … Actionable.

What is a product segment?

In a nutshell, product segmentation refers to the grouping of products that have similar characteristics or attributes and serve a similar market. Put even simpler; it’s an opportunity for you to identify and satisfy the needs of multiple customers who have similar but different requirements within a given market.

What are the 5 market segments?

What are the 5 Types of Market Segmentation? There are 5 ways to break down your customer profile into unique segments, including behavioral, psychographic, demographic, geographic, and firmographic!

What are the 4 types of market segmentation?

Types of Market SegmentationGeographic Segmentation. While typically a subset of demographics, geographic segmentation is typically the easiest. … Demographic Segmentation. … Firmographic Segmentation. … Behavioural Segmentation. … Psychographic Segmentation.

What are customer segments examples?

The most common types of customer segmentation are:Demographic Segmentation – based on gender, age, occupation, marital status, income, etc.Geographic Segmentation – based on country, state, or city of residence. … Technographic Segmentation – based on preferred technologies, software, and mobile devices.More items…•

What are the 4 types of segmentation quizlet?

Terms in this set (4)Demographically. Statistics that describe a population by personal characteristics like age, gender, income, etc.Behavioral. Segmenting a market base on the way customers use a product or behave toward a product.Geographical. Markets divided by where the customer lives.Psycographical.

What are the levels of segmentation?

The 3 Levels of Customer Segmentation (And Why They Matter)Demographic Segmentation. The most basic level of customer segmentation is demographics, also known as firmographics in b2b markets. … Behavioural Segmentation. The next level of customer segmentation is behavioural. … Needs and Unmet Needs.

What are 4 examples of demographics?

Most Common Demographics ExamplesAge.Gender.Race.Marital status.Number of children (if any)Occupation.Annual income.Education level.More items…

What are different segments?

The four bases of market segmentation are: Demographic segmentation. Psychographic segmentation. Behavioral segmentation.

What is a segment?

(Entry 1 of 2) 1 : a portion cut off from a geometric figure by one or more points, lines, or planes: such as. a : the area of a circle bounded by a chord and an arc of that circle. b : the part of a sphere cut off by a plane or included between two parallel planes.

What are the 6 main types of market segmentation?

This is everything you need to know about the 6 types of market segmentation: demographic, geographic, psychographic, behavioural, needs-based and transactional.

What are the main market segments?

Demographic, psychographic, behavioral and geographic segmentation are considered the four main types of market segmentation, but there are also many other strategies you can use, including numerous variations on the four main types. Here are several more methods you may want to look into.

What are the 4 methods of targeting?

There are typically 4 different types of market targeting strategy:Mass marketing (undifferentiated marketing)Segmented marketing (differentiated marketing)Concentrated marketing (niche marketing)Micromarketing.

How do you target a market segment?

A common method used to segment target markets is demographics. This is when you use several personal traits to identify a prototype of a customer in a particular market. Age, race, gender, marital status, income, education and occupation are among traits used to segment demographically.

What are the main market segments in the fashion industry?

The fashion pyramid identifies five price segments. On the top we have couture, then we have ready to wear, diffusion, bridge, and mass market. The higher on the pyramid, the higher the price gets, but the same for level of creativity and quality and therefore, the value proposition that is offered to the customer.

What are the 3 target market strategies?

The three activities of a successful targeting strategy that allows you to accomplish this are segmentation, targeting and positioning, typically referred to as STP.