Market Segmentation Essay -- essays research papers fc

To reach different markets or to promote your products to different locations or people one has to uptake a method called market sectionalisation. market segmentation describes the division of a market into homogenous groups which will respond differently to promotions, communications, advertising and other selling mix variable (Cumming). Market segmentation is extremely important for companies virtually the world. If a company doesnt research the atomic number 18a in which they are dismission to market or they put a product that is either to expensive or to elaborate in an area that stopt afford that and then they will fail as a company. In my paper I will discussion why market segmentation is uptaked in around the world, the types of segmentation, some techniques used to make segmentation work the best.Market segmentation is to divide the market into smaller segments. The reason for dividing the market is to make it easier to address the demand of smaller groups of cust omers, particularly if they have many characteristics in common (Breen). It is easier if you find things in common that are the same such age, gender, benefits, lifestyles, etc. We as well use market segmentation to find niches or to identify under-served or un-served markets. Using niche marketing, segmentation can allow a new company or new product to target less contested buyers and help a mature product seek new buyers (Cumming). Niche marketing can also take a normally large, identifiable group within a market, break it into sub groups so marketing can become easier. Niching offers smaller companies an probability to compete by forcing their limited resources on serving niches that may be unimportant to or overlooked by larger competitors (Mariotti). In many markets today, niches are normal, as agency executive observed, There will be no market for products that everybody likes a little, and only for products that somebody likes a lot (Mariotti). Market segmentation is also u sed to be efficient. More efficient use of marketing resources by focusing on the best segments for your offering product, price, promotion, and place (distribution). Segmentation can help you avoid sending the wrong message or sending your message to the wrong people (Klein). The question is when do we use market segmentation. The execute is, anytime you suspect there are significa... ...ptually distinguishable and do they respond differently to different marketing mix elements and programs? The market segments have to be actionable kitty effective programs be designed for attracting and serving the segments. (Mariotte).Market segmentation is one the most important parts of the marketing mix because of its ability to sell circumstantial items to specific people effectively.Works CitedBreen, Bill, Desire Connecting With What Customers Want Fast Company Issue 67 Febuary 2003 page 86 Gruner + Jahr USA Publishing 2003 (www.fastcompany.com).Cumming, Betsy, Cut pop For Success Tar geting Segments Can Help You Claim A Bigger Share of the Overall Market Sales and Marketing January 4, 1994 VNUeMedia Inc. 2003 (www.salesand marketing.com)Klein, E. Karen, Advertising vs. Marketing Business calendar week October 9, 2003 McGrain Hill Companies 2003 (www.businessweek.com).Mariotti, L John, Maximize Your Marketing Dollars Fortune Small Business Monday, January 22, 2001 Time Inc 2003 (www.fortune.com).McElligott, Tuim, Customer Specific The Art and Science Behind Amdocs Market Segmentation Telephony October 16, 2003