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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 - Identify and make...


    (Page 2 of 4 )

    STEP 2: Identify and make an inventory of potential customers' needs

    This step pushes the creativity challenge even farther, since it can be compared to a brainstorming session.

    What you have to figure out is what needs the consumers from the broad market identified earlier might have. The more possible needs you can come up with, the better.

    Got yourself stuck in this stage of segmentation? Try to put yourself into the shoes of your potential customers: why would they buy your product, what could possibly trigger a buying decision? Answering these questions can help you list most needs of potential customers on a given product market.

    STEP 3: Formulate narrower markets

    McCarthy and Perreault suggest forming sub-markets around what you would call your "typical customer", then aggregate similar people into this segment, on the condition to be able to satisfy their needs using the same Marketing mix. Start building a column with dimensions of the major need you try to cover: this will make it easier for you to decide if a given person should be included in the first segment or you should form a new segment. Also create a list of people-related features, demographics included, for each narrow market you form - a further step will ask you to name them.

    There is no exact formula on how to form narrow markets: use your best judgment and experience. Do not avoid asking opinions even from non-Marketing professionals, as different people can have different opinions and you can usually count on at least those items most people agree on.

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