Wednesday, March 29, 2017

The major segmentation variables for consumer markets are geographic, demographic, psychographic, and behavioral. How does market segmentation help...

Market
segmentation helps marketers by using the resources available to them in a more efficient
manner. By segmenting the market and identifying the group of people most likely to use the
product that is being marketed a marketer can create a brand image that appeals to the target
group.

The advertisements created for the product should be created keeping
the target group in mind and the medium where they are displayed chosen accordingly. It does not
serve any purpose to make everyone aware of the product if only a small group of people in the
entire population is likely to use the product. Mass advertising is an inefficient use of
resources and the to alternative to this is to identify the segment of people most likely to
become customers and focus solely on them.

For example, though diapers are
used by small children they are not bought by children. Here the target segment is women in the
age group 25-35 that are most likely to have children. Advertising for diapers should be done on
television channels watched by women. Advertisements of diapers in the middle of a baseball
match would not serve much of a purpose and waste resources.

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