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Querist : Anonymous

Querist : Anonymous (Querist)

29 April 2012 what are the diffrent segments of the market?
explain in detail

RAMESH KUMAR VERMA

RAMESH KUMAR VERMA (Expert)

30 April 2012 A market segment is a classification of potential private or corporate customers by one or more characteristics, in order to identify groups of customers, which have similar needs and demand similar products and/or services concerning the recognized qualities of these products, e.g. functionality, price, design, etc.

The term segmentation is also used when customers with identical product and/or service needs are divided up into groups so they can be charged different amounts for the services.

A customer is allocated to one market segment by the customer´s individual characteristics. Often cluster analysis and other statistical methods are used to figure out those characteristics, which lead to internally homogeneous and externally heterogeneous market segments.

Examples of characteristics used for segmentation:

Gender
Price
Interests
Location
Religion
Income
Size of Household
Age
Education
Occupation
Social Class
Ethnicity
Nationality
End use (Example work or leisure)

While there may be theoretically 'ideal' market segments, in reality every organization engaged in a market will develop different ways of imagining market segments, and create Product differentiation strategies to exploit these segments. The market segmentation and corresponding product differentiation strategy can give a firm a temporary commercial advantage.

for more info:

https://www-rohan.sdsu.edu/~renglish/370/notes/chapt09/index.htm

Regards,

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