Question

Market segmentation has 5 bases, can you list them and briefly describe them. In your opinion, as a consumer, does Market Segmentation help explain why we have or don’t have certain businesses in our community

Answer 1

Five bases of market segmentation:-

1)Demograhpic

2)Geographic

3)Behavioural

4)Psychographic

5)Firmographic

1)Demographic:-It is description of population related characteristic like age ,gender ,education ,income religion etc.Marketers should be focus on specific demographic group instead of all. Marketers develop their product to meet requirements of individual segment.

2)Geographic:-It gives information about the density,weather,country,region.Marketers should divide customers into national,local,regional,international.

3)Behavioural :-It states behavioural thinking of customers like loyalty,engagement,ussage ,occasion.it also include benefits sought from product and service,readiness to buy,common characteristic.

4)Psychographic:-It mainlhy includes habits of customers ,lifestyle,opinion about the products,social status,value .

5)Firmographic:-This segmentation tells about sales volume,size of industry,annual revenue,performance of firm,organisational trends.