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Marketing Segmentation
Post: #1

Market segmentation is a strategy that involves dividing a larger market into subsets of consumers who have common needs and applications for the goods and services offered in the market. These subgroups of consumers can be identified by a number of different demographics, depending on the purposes behind identifying the groups. Marketing campaigns are often designed and implemented based on this type of customer segmentation.
One of the main reasons for engaging in market segmentation is to help the company understand the needs of the customer base. Often the task of segregating consumers by specific criteria will help the company identify other applications for their products that may or may not have been self evident before. Uncovering these other ideas for use of goods and services may help the company target a larger audience in that same demographic classification and thus increase market share among a specific sub market base.
Market segmentation strategies can be developed over a wide range of characteristics found among consumers. One group within the market may be identified by gender, while another group may be composed of consumers within a given age group. Location is another common component in market segmentation, as is income level and education level. Generally, there will be at least a few established customers who fall into more than one category, but marketing strategists normally allow for this phenomenon.
Post: #2
Marketing Segmentation

Market Segmentation-Definition

Market Segmentation is subdividing of market into homogeneous sub-set of customers, where any subset may conceivably be selected as marketing target with to be reached with distinct Marketing Mix

Target Marketing

In Target marketing sellers distinguish the major market segments, target one or most of those segments, and develop products and marketing programs tailored to each segment.
It requires marketers to take three major steps:
Market segmentation
market targeting
market positioning


Market Segmentation is the process of splitting customers, or potential customers, in a market into different groups, or segments, within which customers share a similar level of interest in the same or comparable set of needs satisfied by a distinct marketing proposition.

Attached File(s)
.ppt  Marketing Segmentation.ppt (Size: 1.72 MB / Downloads: 67)
Post: #3
Market Segmentation


It refers to a place where the seller offers goods and services for sale and buyer get these goods and services as per requirements.
It does not denote a particular place or location
Features of Market
Existence of buyers and sellers

Market competition

Divided into two types
Perfect competition- perfect and pure competition
Imperfect competition- monopoly (single& discriminated)
Monopolistic competition- pure and differentiated
Oligopolistic competition
Bilateral monopoly.

Perfect Competition

It refers to market structure where competition among sellers and buyers prevails in its most perfect form.
A single market price prevails for the commodity which is determined by the forces of total demand and supply.
Every participant is a price-taker and everyone has to accept the prevailing market price.
Examples- financial markets, stock exchanges, bond markets etc.

Characteristics of perfect competition

Large number of buyers and sellers
Product homogeneity
Free entry & exit of firms
Perfect knowledge of market
Perfect mobility of factors of production
Government non-intervention
Absence of transport costs

Short Run Perfect Competition

In the short-run, it is possible for an individual firm to make an economic profit. This situation is shown in this diagram, as the price or average revenue, denoted by P, is above the average cost denoted by C .

Long Run Perfect competition

In the long period, economic profit cannot be sustained. The arrival of new firms or expansion of existing firms (if returns to scale are constant) in the market causes the (horizontal) demand curve of each individual firm to shift downward, bringing down at the same time the price, the average revenue and marginal revenue curve.
The final outcome is that, in the long run, the firm will make only normal profit (zero economic profit). Its horizontal demand curve will touch its average total cost curve at its lowest point.
Post: #4

.pptx  market segmntn.pptx (Size: 88.99 KB / Downloads: 36)


Segmentation means breaking down the market for a particular product or service into segments of customers that differ in terms of their response to marketing strategies. It means breaking down the total market into self-contained and relatively homogeneous subgroups of consumers, each possessing its own special requirements and characteristics.
For example, on the basis of language, there are French, German and Italian-based segments in Switzerland.


Dividing a market into distinct groups with distinct needs, characteristics, or behavior who might require separate products or marketing mixes

Reasons for Market Segmentation

Basis for developing targeted and effective marketing plans.
Facilitates proper choice of target marketing.
Higher Profits
Facilitates tapping of the market, adapting the offer to the target e.g.Ford adapted its offer to suit the Indian target market.
Stimulating Innovation.

Demographic Segmentation

Demographic segmentation consists of dividing the market into groups based on variables such as age, gender, family size, income, occupation, education, religion, race and nationality.

Density of population

Household patterns
Income level
Population categories

Psychographic segmentation

Psychographics is the science of using psychology and demographics to better understand consumers. Psychographic segmentation: consumer are divided according to their lifestyle, personality, values. People within the same demographic group can exhibit very different psychographic profiles.
Social class
Livelihood systems
Personality groups
Influencing cultures
Post: #5
to get information about the topic "market segmentation mba" full report ppt and related topic refer the link bellow
Post: #6
i am doing my project in market segmetation, so please suggest me some of the topics regarding it

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