Segmenting

Segmenting is a marketing process of dividing a broad target market into subsets based on common needs, interests, and priorities.

Definition

Segmenting, in the context of marketing, is the process of dividing a broad target market into subsets of consumers or businesses that have, or are perceived to have, common needs, interests, and priorities. Then, designing and implementing strategies to target them.

Usage and Context

Segmenting is commonly used in marketing to tailor promotional efforts to specific populations, rather than trying to reach an entire market. It can be done based on a variety of factors including age, location, behavior, and more. This allows businesses to more effectively reach and serve their target audience, leading to increased customer satisfaction and business success.

FAQ

What are the types of market segmentation?

There are four primary types of market segmentation: demographic, geographic, psychographic, and behavioral.

Why is segmenting important in marketing?

Segmenting is important in marketing because it allows businesses to target specific groups of customers, thereby increasing the effectiveness of their marketing efforts.

Many customer relationship management (CRM) software like Salesforce, HubSpot, and Zoho have built-in features for segmenting.

Benefits

Segmenting helps businesses to understand their customers better, tailor their marketing and product offerings to specific customer needs, improve customer service, identify new opportunities, and increase profitability.