Market segmentation, Marketing Management

Assignment Help:

Q.  Explain market segmentation?  Tell need to segment the markets?

OR

Clarify the term market segmentation & briefly explain the need to segment the market?

Ans.:  Markets are not homogenous and they are made of various segments. A market is the aggregate of consumers of a given product & consumers vary in their characteristics parching behavior. It is possible to disaggregate the consumers into segments in such that in require characteristics and buying behavior; the members vary considerably among segments.

Segmentation profit the marketer as:-

  • Facilitates  Taping  of  the  Market,  Adopting  the  Offer  to  the  Target: Segmentation also enables the  marketer to crystallize the requirements of the target buyers. Also it helps him to produce an right predication of the likely responses from each segment of the target buyers.
  • Facilitates Proper Choice of Target Market:  Segmentation helps in distinguishing one customer group from another and there by unable him to choose which segment should form his target market.
  • Makes the Marketing Effort More Efficient & Economic: Segmentation makes the marketing try more efficient and economic. It ensures that the marketing attempt is concentrated on well defined & carefully select segments. After all, the resources of any company are restricted & no company can normally afford to attack and tap the whole market.

For example: Ford Strategy - Through segmentation car manufacturers have achieved useful  insights  on  the  product  features  to  be  provided  to  different segments of car buyers.

Advantage the customer as well.

  •   Helps  spots  the  less  satisfied  segments  and  succeed  by  satisfying  such  type of segments.
  •   Helps   gain   the   specialization   required   in   product,    promotion, distribution & costing for matching the customer group & develop marketing offers.

Then, to compete more effectively, various companies go for target marketing which can establish and communicate the distinctive advantage of the company's market offering. This procedure is called as market segmentation.

For example.: GM has recognized 40 different customer requirement & 40 different market segments in which it would be present with its vehicle.


Related Discussions:- Market segmentation

What is advertising budget, Q. What is Advertising Budget? Answer:- Qua...

Q. What is Advertising Budget? Answer:- Quantitative appearance of future plan of activities prepared for fix period of time. Advertising budget is a monetary document that sho

Communication differences, Communication Differences Having identified...

Communication Differences Having identified need to communicate with several different audiences, it seems appropriate to conclude this opening module by examining differences

Market segmentation, A new technology mobile which get auto charge while us...

A new technology mobile which get auto charge while using.

What types of tools use in business promotion scheme, What types of tools u...

What types of tools use in business promotion scheme? Business Promotion Schemes: 1. Trade Shows: Industry associations organize yearly trade demonstrates. 2. Sales

What are the differences between goods and services, Many service sector bu...

Many service sector businesses fail because their marketing managers do not have any experience in the marketing of services. They often have been previously involved in the mark

Ten principles of reinvention , As per the Osborne and Gaebler, governments...

As per the Osborne and Gaebler, governments don't work well, since they are tall, sluggish, over-centralized, and preoccupied with diverse rules and regulations."We developed publi

Caselet, Considering the concept of product life cycle, where would you put...

Considering the concept of product life cycle, where would you put video game in their life cycle

Marketing mix, critically analyse diesel''s marketing mix strategies

critically analyse diesel''s marketing mix strategies

Put video games in their life cycle, considering the concept of product lif...

considering the concept of product life cycle, where would you put video games in their life cycle

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd