The more precise the segmentation strategy that a marketing department uses to effectively reach their core target market, the more sales will result in the long run. A classic example: A classic example — people living colder continents such as Europe are interested in warm clothing, heating devices etc. Geographic segmentation is advantageous for international businesses, and not for a small business, which operates in a well-defined area. This is dividing customers up by the benefit they get from using the product or service. The Olympics come along every four years. Likewise, a picante sauce might concentrate its distribution and advertising in the Southwest.
A company that sells both rain gear and summer wear has to consider weather changes while marketing such products. Companies segment their target market geographically when needed to focus on a specific area. Food Preferences Certain foods have very specific geographic interest in the U. The findings that result from geographic segmentation allow small businesses to focus their marketing efforts specifically on their defined area of interest, therefore avoiding inefficient spending. Villages- Companies doing sugar business can target villages growing sugarcane, tea manufacturing companies can target tea farms etc 4.
A cosmetic company must focus on marketing products according to seasonal changes. Marketers must also ensure that the individuals of the segment respond in a similar way to the stimulus. If you find something unique that appeals to everyone, the heck with segmentation. Customers may want or desire a product that is not met completely by the products offered in a market. City- Cities offer a huge potential market to companies.
Depending on why the customer is visiting the park, the marketing team could provide a targeted promotional message. However, in the Southern Hemisphere, it will focus on marketing for warm weather clothing. People living within the same geographical boundaries often exhibit similar buying patterns. Mass marketing refers to treatment of the market as a homogenous group and offering the same marketing mix to all customers. Gender This is perhaps the simplest and most common basis of marketing segmentation.
Research conducted by the company shows that people in urban markets prefer lightweight bikes with skinny tires that allow them to zip in and out of traffic. People living in the same region can have different requirements 2. Examples of this kind of geographic market segmentation include swimwear brands that are targeted for hot areas with beaches and similarly, raincoats for areas that experience excessive rainfalls, etc. Given below is a list of variables, which are commonly used to divide the market into segments. McDonalds segmentation, targeting and positioning is one of the integral components of its marketing strategy. Again, using multiple demographic criteria while segmenting targets a very specific list of prospective customers.
No one ever opens up the cross-tabs and looks at the answers to the hundreds of questions asked. It is also one of the key factors to decide whether to market the product as a need, want or a luxury. There is no point in marketing snow shovel in areas that are either warm or mildly cold areas with no snowfall. Usage Product usage also acts as a segmenting basis. Geographic Segmentation Examples There can be several way in which this topic can be understood.
This way the company targets different messages to different segments, appealing them towards the unique features the product offers. There should be something common among the individuals in the segment that the marketer can capitalise on. For example; light, medium or heavy users. What are you waiting for? For example, why do people go to amusement parks? Behavioral segmentation can be used in a variety of ways. A large representative sample of consumers generally, 1,000 or more are then asked about the degree to which they agree or disagree with each statement.
Geographic segmentation is when a business divides its market on the basis of geography. If a brand pours all of its budget into one media, it can possibly dominate the segment of the market that listens to that radio station or reads that magazine. Behavioral Segmentation or make decisions related to a product. For example, a detergent company will market its low-cost detergent product in rural areas because the purchasing power is lesser. Definition Divide a potential market into distinct groups of buyers with relatively similar product needs, characteristics and behavior. Many of the consumer market segmentation variables can be applied to industrial markets.
Example 2 Imagine a bicycle company that decides to geographically segment its target audiences into urban, suburban, and rural populations. Urban and Rural Based Segmentation Products that serve different needs and wants of people living in rural and urban areas adopt rural and urban segmentation to convey their message to potential customers. The first step in target marketing is to identify different market segments and their needs. Mass Marketing In Segemetation, by means of a single marketing message. If people from the 15-25 age group form a major chunk of the potential customers, the manufacturer is more likely to opt for a sleek, trendy design.
This type of segmentation helps to reach out to customers living in a similar region or area and have identical needs. Unfortunately, cluster analysis regardless of its many types and forms has inherent limitations and seldom yields coherent market segments. They have to formulate marketing programs, which are intended to lure customers of different geographic units, and are designed after careful study and evaluation. Hence, this concludes the definition of Geographic Segmentation along with its overview. The women featured on the packaging are generally laughing or playfully smiling, embodying the effortless beauty to which many women aspire.