content marketing wk 5

What is marketing segmentation?

Market segmentation is dividing a market into distinct groups of customers who shares common needs and are likely to respond similarly to marketing actions

Why do marketers segment markets?

• Identify market opportunities

• Recognise previously unknown possibilities

• Gain more detailed knowledge of the market

• Avoid trying to target eveyone

4 types of market segmentation

Geographic → demographic → psychographic → behavioural

What is geographic segmentation?

Dividing a market according to location, or population density

What is demographic segmentation?

Categorising consumers according to measurable statistical characteristics

What is psychographic segmentation?

Dividing consumers according to personality, values, interests, lifestyles, and social class

What is behavioural segmentation?

Dividing consumers according to their actions and behaviours, including purchasing habits, loyalty, usage, and benefits sought

What is the difference between geographic, demographic, psychographic, and behavioural segmentation?

• Where people live

• Who people are

• How people think/live

• What people do

What are the 5 requirements for effective market segmentation?

• Measurable

• Accessible

• Substantial

• Differentiable

• Actionable

What is VALS?

values and lifestyle is a psychographic segmentation model developed by SRI International that categorises consumers according to their psychographical traits, values, and lifestyles