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 are the certain limitations of packaging, What are the certain limitat...

What are the certain limitations of packaging? Packaging is one of the way by which Marketer can distinguish his product by the competitors brand. In spite of having different

How is evaluation and selection important in decision making, How is evalua...

How is evaluation and selection important in decision making process? Evaluation and Selection: These are two-stage decision process of circulating of supplier and select

Explain the various elements of the marketing process, A Convertible Ultrab...

A Convertible Ultrabook is a new type of notebook which functions both as a laptop and tablet mode when required. Ultrabooks are designed to feature reduced bulk without compromisi

Competition oriented pricing, Competition Oriented pricing : competitive or...

Competition Oriented pricing : competitive oriented pricing methods are regular in a competitive economy. The methods in this category rest on  the  principle  of  competitive  par

What is available market, A vailable Market This may be refers to ...

A vailable Market This may be refers to the combination of those clients who have an interest in a particular product or service, access to it, and the funds to pay for it

Judgement method for preparing advertisement budget, Q. Explain about Judge...

Q. Explain about Judgement Method for preparing advertisement Budget? Judgement Method: - In this process advertising budget is decided by the experienced manager of company on

Market strategy, Customers in this market could be segmented in a variety o...

Customers in this market could be segmented in a variety of ways.  The product/service could be targeted to a number of different market segments and marketers could develop a vari

Henry Assael Model of buying decision behavior, Explain Henry Assael Model ...

Explain Henry Assael Model of buying decision behavior .

Marketing management., whatis test marketing?Explain the various approaches...

whatis test marketing?Explain the various approaches that are followed by FMCG companies in test marketing

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