2.3 business market segmentation

• market segmentation

  splitting the market for a product or service into different parts or segments

  people in different segments usually want different kinds of products or services

  need to know this so they can target their products at different needs of customers in each segment
• ways to segment a market


  age

  gender- what colour the product should be?

  location- if business suit people in cities or the countryside?

  lifestyle

  income
• factors to consider when segmenting a market

  whether to produce different products for different markets- different versions for males and females

  what price to charge- high or low

  how to promote the products- type of media to use and what message this method may give

  where to locate shops- busy areas or countryside, online or not