Question

Describe the various forms of behavioural segmentation and describe the emergence of the global teens and global elites’ segments.

Answer 1

The process of dividing the total market into smaller homogeneous groups based on consumer purchasing behavior is known as behavioral segmentation. Organizations carry out behavioral segmentation on the basis of purchasing habits from consumers such as frequency of use, brand loyalty, benefits required, at any occasion etc. It is done in accordance with a customer's needs and desires based on the actions they display.

Occasion-Based Behavior- Often, user activity is detectable by specific occasions. Consumers, for example, often make more purchases in their own lives during the holiday season or for special occasions, such as birthdays and anniversaries. It is possible to separate occasional activities into universal occasions, daily personal occasions and uncommon personal occasions. This will allow you to more personally tailor content for all of these different occasions.

Usage Rate- The utilization rate divides the users into heavy, medium, and light users based on how much they use the goods or services. You will be able to concentrate on converting light users into mid-level users and mid-level users into heavy users while keeping heavy users satisfied while segmenting the audience based on their usage actions.

Purchase Reasoning- Different customers are given various reasons to purchase the product or service. Knowing what these reasons would make their desires easier to satisfy. When you sell business software, for example, it can have many advantages including ease of use, reliability, scalability, and integration capabilities. If you have an article about the usability of your solutions to a customer who has bought your software because of its scalability, this would not be an successful way to communicate with them.

Before a organization pursues expansion into new international markets, the global climate must be analysed. By globally segmenting the market, a business may recognize and group consumers or countries according to specific needs and wishes. Demographic segmentation can be based on income and population, age, ethnic origin, or other variables of region. Psychographic segmentation groups people based on behaviors, desires, beliefs, and lifestyle. Segmentation of the actions allows use of user status and use rate as variables of segmentation. The segmentation of benefits is focused on the purchasers receiving the benefit. Global teens and global elites are just two examples of segments of the global market.

One global demographic-based group is global youth – young people aged 12 to 19. Teens demonstrate consumption activity that is surprisingly consistent across boundaries, owing to their common interest in fashion, music, and a youthful lifestyle. Young consumers may not have adhered to cultural norms yet; indeed, they may revolt against them. This reality, combined with mutual common expectations, needs and desires, enables a single marketing campaign to enter the global teen segment. This segment is attractive, both in terms of its scale (about 1.3 billion) and its buying power of several billion dollars

The global telecoms movement is a crucial driving force behind this segment's emergence. Global media like MTV and the Web are great platforms The global elite is another global segment: the rich buyers who are well traveled and have the money to spend on prestigious goods with an aura of exclusivity. Although this category is mostly associated with older people who have accrued wealth over the course of a long career, it also includes movie stars, artists, professional athletes, businessmen, and others who at relatively young age have achieved great financial success.