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WEBSITE MARKETING

Marketing Strategy: 7 Steps To Market Segmentation
By: Otilia Otlacan
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    2005-10-21

    Table of Contents:
  • Marketing Strategy: 7 Steps To Market Segmentation
  • Identify and make...
  • Identify the determining...
  • Estimate the size...

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    Marketing Strategy: 7 Steps To Market Segmentation


    (Page 1 of 4 )

    Market segmentation is widely defined as being a complex process consisting in two main phases:- identification of broad, large markets

    - segmentation of these markets in order to select the most appropriate target markets and develop Marketing mixes accordingly.

    Everyone within the Marketing world knows and speaks of segmentation yet not many truly understand its underlying mechanics, thus failure is just around the corner. What causes this? It has been documented that most marketers fail the segmentation exam and start with a narrow mind and a bunch of misconceptions such as "all teenagers are rebels", "all elderly women buy the same cosmetics brands" and so on. There are many dimensions to be considered, and uncovering them is certainly an exercise of creativity.

    The most widely employed model of market segmentation comprises 7 steps, each of them designed to encourage the marketer to come with a creative approach.

    STEP 1: Identify and name the broad market

    You have to have figured out by this moment what broad market your business aims at. If your company is already on a market, this can be a starting point; more options are available for a new business but resources would normally be a little limited.

    The biggest challenge is to find the right balance for your business: use your experience, knowledge and common sense to estimate if the market you have just identified earlier is not too narrow or too broad for you.

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