Market Segmentation & Target Marketing

842 Words4 Pages
Marketing is a relatively simple process, but it takes careful planning to become one of the world’s leading retailers. Campbell’s delivers its promise by saying, “It’s MMM-MMM-Good.” MasterCard has a promise that makes you want to, “Never leave home without it.” And Pepsi put enough time into their product just so you would know, “You got the right one baby, uh-huh.” However, these multi-million dollar slogans mean nothing without the help of market segmentation and target marketing, the brains behind the brilliance. Often times marketing endeavors fail due to lack of planning, and/or lack of resources in a specified area. Market segmentation and target marketing are both tools created to eliminate this problem by dividing a large market into several smaller segments to provide an adequate means of delivering a prepared plan for prepared people. Here we see how a market can be split into groups to better suit the buyer. Market segmentation can be viewed as a multi-dimensioned process in which companies divide large markets into smaller groups to provide a means of adequately meeting their needs. This process requires the buyer to specify the type of market they desire by differentiating their wants, resources, locations, buying attitudes, and buying practices. To ensure that the buyer gets exactly what he/she wants, market segmentation requires the buyer to separate a large market by geographic, demographic, psychographic, and behavioral segmentation. Research suggests, “There is no single way to segment a market. A marketer has to try different segmentation variables, alone and in combination, to find the best way to view the market structure” (College, 2007). Geographical segmentation includes separating the market by groups like states, cities, regions, and neighborhoods. Demographic segmentation divides a market into groups identifiable by age,

More about Market Segmentation & Target Marketing

Open Document