The market segmentation features by which consumer sections are defined also serve as criteria for the subsequent selection of optimal marketing activities. Let us list the key ones:
Feedback form. The reaction of consumers within one segment should be approximately the same.
Sufficiency of area and number of sections. The number of clients in the segment is taken into account, as well as the maximum possible sales volume in it for a certain period.
Degree of availability. The vnpay database possibility of offering the product to a larger number of customers is revealed.
Available capabilities and resources for segment measurement.
Degree of importance. The independence and autonomy of each segment is assessed.
Compatibility with the market share occupied by competitors.
Profitability. The maximum possible income from the audience within the segment is determined.
Competitiveness within a subgroup.
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Market Segmentation Categories
To select the optimal section, you must first set the features by which segmentation will be performed. The level of competition in a given niche significantly influences the definition of these criteria. And competition, in turn, is a determining factor in consumer choice. The more options are provided to the target client, the more ways he gets to purchase the product. Accordingly, the number of all sorts of nuances that must be taken into account also increases.
Marketers can take into account a very large number of characteristics that are then used in market segmentation. The customer groups that are formed, however, can be defined by only four main categories:
Demographic (B2C) Firmographic (B2B) Psychographic (B2B/B2C) Behavioural (B2B/B2C)
Basis for classification Individual characteristics Company attributes Psychological criteria (values, desires, aspirations, etc.) Behavioural factors (methods of product use, technological features, etc.)
Examples Location, gender, education, income level Field of activity, location, business profitability, staff Lifestyle, character traits, attitude to different phenomena Experience of use, reasons for purchasing the product
Criteria for selection Small business development, first project implementation Development of medium-sized businesses, implementation of the first project Linking the product's purpose with the values or lifestyle of the target audience Attracting customers based on their consumer behavior
Complexity of implementation Easily Easily More difficult More difficult
For example, a manufacturer has a goal to use segmentation and targeting tools to assess the market reaction to a customer purchasing a product. Often, a predictive model is used here, allowing the audience to be grouped within certain segments. The results of a survey are used as a basis.