3. What is Segmentation ?
Segmentation refers to a process of
dividing a large unit into various
small units which have more or less
similar or related characteristics.

4. Market segmentation
Market segmentation means dividing the
total market for a product into different
parts i.e segments on certain bases and
using each segment fully for the purpose of
marketing and sales promotion.

5. Market Aggregation
The market
•No segmentation
•heterogenous
customers
•homogenous
product
•no differentiation
5

6. Segmentation
It is dividing the market into distinct group of customers with similar
requirements
S-1
Segments must be
• Identifiable
• Measurable
• Accessible, reachabl
e
S-3
Good market segmentation
 has internally
homogenous members
and
 is externally
heterogeneous
S-2
• Substantial enough
• Unique enough
• Durable/stable
6

7. ,
Basic features
Needs and wants,
Financial position i.e purchasing power,
Willingness to buy,
Likes and dislikes and
Social and cultural background.

8. Benefit of market segmentation
In market segmentation , we first identify the wants of
the customers with in a sub market and then decide
if it is practical to develop a marketing mix to satisfy
those want and the company also earn more profit.

11. Geographic Segmentation
 In geographical segmentation, market is divided
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into different geographical units like:
Regions (by country, nation, state, neighborhood)
Population Density (Urban, suburban, rural)
City size (Size of area, population size and growth rate)
Climate (Regions having similar climate pattern

12. Demographic Segmentation
 In demographic segmentation, market is divided into
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small segments based on demographic variables like:
Age
Gender
Income
Occupation
Education
Generation
Family size
Religion
Nationality

13. Psychographic Segmentation
 In Psychographic Segmentation, segments are defined on
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the basis of social class, lifestyle and personality
characteristics.
Psychographic variables include:
Interests
Opinions
Personality
Self Image
Activities
Values
Attitudes

14. Behavioral Segmentation
Behavioral Segmentation
 In this segmentation market is divided into segments
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based on consumer knowledge, attitude, use or response to
product.
Behavioral variables include:
Usage Rate
Product benefits
Brand Loyalty
Price Consciousness
Occasions (holidays like mother’s day, New Year and Eid)
User Status (First Time, Regular or Potential)

15. Thanks