Question

list 4 factors that 1 should consider when segmenting a market for a courier service.

Answer 1

Segmentation is a common strategy used in marketing to break down a large target audience into smaller, more homogenous groups of customers

Factors to be considered:

• Demographic Factors

This includes segmenting the customer based on age, gender, marital status, income, occupation and other typical identifiers. THis approach helps in identifyinh the customers profile for marketing activities.

• Lifestyle/Psychographic factors

It is necessary to identify the lifestyle of your target audience by understanding their interests and hobbies. This is also known as psychographic segmentations. If your target customer is a high speed delivery and quality expecting one, you can position your brand or offering accordingly.

• Geographical factors

Based on identifying the target customer, it is necessary to understand that this segment is present in which geography. Geographic focus helps you increase awareness among the public in particular markets. Also, at the same time your customers in different geographies could have different expectations and needs which you need to identify and address.

• Behavioral factors

This segmentation is done based on behavior, usage and decision making of your target customers. You could target non-customers to attract them to buy, present users to stay loyal and potential users to convince them to give your service a try. Hence, behavioral factors also help us segment our potential target.