Flashcards in STP - Segmentation Deck (6)
What is segmentation?
'The top down process of grouping customers in markets with some similarities into smaller, more homogenous segments ' Kotler 1996
-Goal is to identify specific customers needs and design a program to satisfy those needs
What is geographic segmentation?
- Defines customers according to their location
- They are easy to define, measure and most the information is publicly available
What is psychological segmentation?
What are the 4 psychological segmentation and who came up with it?
1) Activities - Work,shopping,holiday and social life
2)Interests - Whats important to the consumer
3) Opinions - Attitudes, beliefs
4) Demographics - age,income
What are the benefits of psychodynamic segmentation?
- open the door to a better tailored, more subtle offer to the customer on all aspects of the marketing mix
-Valuable for products that are more psychological than functional