Question

What are some examples of customer segmentation ?

Answer 1

• Examples of customer segmentation are as follows:-

1. Demographic Segmentation:- It depends upon the basic attributes and living of an individual i.e. gender, age, job or business or occupation. Example:- If the business is of toys then the businessman will target the particular age group and will research on the demand and interests of toys.
2. Geographic Segmentation:- It depends upon the geographical boundary or the place where the customers are living. If an individual wants to open up the showroom of Air conditioners in the hilly areas then it will going to fail. The reason behind the failure is the geographical area and the climatic condition due to which customers do not prefer air conditioners.
3. Psychographic Segmentation:- This factor totally depends upon the psychology of an individual i.e. how they think and their mindset regarding particular issue. For an example if an individual opens up a restaurant in a village then it will not be as profitable as it will be in the urban area. The reason behind the failure will be mindset of villagers and their values as they do not prefer restaurants.