no less than 250 words please 1. There are several major segmentation variables
ID: 388508 • Letter: N
Question
no less than 250 words please
1. There are several major segmentation variables that might be used by a marketer to address a consumer market. If the marketer were to use social class, psychographic lifestyle, and readiness stage to segment its market, identify possible segmentation subcategories under each of the three. For example, if we were to segment based on usage rate, subcategories would be light user, medium user, and heavy user.
2. If a marketer were to segment a business (not consumer) market on the basis of demographics, what three subcategory segmentation variables would probably be used to assist with this form of segmentation? What questions would be asked in each of the three categories to advance the segmentation effort?
Explanation / Answer
Social Class
Customers are divided on different social classes or groups based on social status, esteem and prestige. They can be divided to Lowe class, Middle class and Upper class. Again it is divide into upper Lower , upper middle and upper. Social class of customer decides purchasing capacity base on income for products and services in education, travel and tourism.
Psychographic Segmentation
It is known as psychometric or lifestyle segmentation which studying the activities, interest and opinion of customers. It includes
Behavioural Segmentation- it includes the particular behavior of customer in different seasons or occasions. Customers purchase in regular occasions, special occasions, festive occasions or gift giving. They are targeted in different occasions as per their behaviors in different occasions.
Benefit- sought segmentation- customers search for economy, quality, service level, convenience, access of any good or services. Divide the market into distinct needs, perceived value and benefits sought. Marketers develop products with different quality level, performance, customer service, special features or any benefits for different segments.
Attitudinal Segmentation- it provides insight into mindset of customers which drives the behavior relate to environmental protection. Customer’s belief in green products, environmental friendly products which are free from hazards.
Readiness Segmentation
Segment the customer based on their readiness to purchase the product. They can be subdivided into
Unaware- customers are not aware of the products or services. We have to make them aware and then find the prospect.
Aware- Customers are aware about the product, we will target the prospects.
Intention to buy- customers have the intention to buy the product or service, we will make available to them the required product or service
Business Market Segmentation on Demographic
We can segment the total business market. It includes
Company Size-
What shoud be the company size?
Whether size is matching the market size?
Industry-
What is the demand of customers?
What kind of industry prevailed in the market?
What will be the lucrative industry?
What are the physical facilities available?
Purchasing approach-
Customer orders in large or small quantity. What will be the purchasing policies or criteria?
What is the purchasing function organization?
What is the nature of existing relationship?
Situational Factor-
What kinds of seasons are observed in the market?
What is population of market?
What season gives more opportunity, any festive one?
Related Questions
Navigate
Integrity-first tutoring: explanations and feedback only — we do not complete graded work. Learn more.