What is market segmentation and why should you necessarily bet on strategy?
Market segmentation is an essential strategy for any business.
Basically, it allows you to divide your audience into groups according to characteristics, consumption profiles and preferences, and create specific marketing actions for each.
In addition to driving investments, you’ll still have the chance to reach customers more assertively, generate brand identity with different brands, and increase profits significantly.
Cool huh?
In this article, you will learn more about the importance of market segmentation and also how it can make a big difference to your business .
Check out!
What is market segmentation?
Market segmentation means dividing the customers of a brand into groups according to the interests of each.
In this way, it is possible to structure the marketing strategy more assertively, taking into account the profiles of the different consumer segments.
See that everyone benefits from what you offer, however, the preferences are quite different.
Let’s take as an example the same car manufacturer?
Some customers buy the compact model, others the SUV, others still bet on the sedan.
And what drives them to these decisions?
Preference, social situation, profile, etc.
To reach this conclusion, it is necessary to analyze 3 situations: geographical, demographic and psychographic.
Next you will know what each one means.
1 — Geographical
Involves where each group is located, such as city, state, and country.
2 — Demographic
The characteristics of the population are related to age, schooling, gender (male or female), etc.
3 — Psychographic
Here enter the behavior, the personality, the social class, the desires, the way to realize the purchases (Internet or physical stores) and the way of life.
These are contexts that influence the type of consumption.
From the moment you market segmentation, you can understand the different customer profiles, carry out specific actions for each one, and identify opportunities if you notice shortages related to the products or services.
But can the same product serve different audiences?
Yes!
Depending on what your company offers, you can tailor the solution to support all your needs.
And this will depend on a number of variables such as price, functionality and consumer expectations.
Why Market Segmentation?
Now that you already know what is market segmentation, it is important that you understand why it should be made.
Basically, this division allows you to optimize and direct marketing actions more assertively and accurately.
Thus, you can perform one action type for one first group of clients, another for a second group, and so on.
So you reach group A with specific campaigns that solve your problems and make your lives easier.
The same is made for B, C, D …
But after all, what will happen if you have 3 different threads and do the same action for all of them?
It may make sense for group A, but not for group B, who will not identify and will benefit little.
Maybe he will begin to understand that your company does not actually have a good solution for it.
Finally, market segmentation is a way of talking to each type of customer assertively and offering what will actually solve your problems.
Consequence?
In addition to the right investment, you will avoid unnecessary expenses, since the campaigns will be made to the right public, and moreover will have a more concrete return of these investments.
How to do market segmentation?
You can do market segmentation research to understand each audience.
Sending questionnaires to your customers is a very interesting strategy.
But it is important that they contain questions that allow them to identify geographic, demographic and psychographic situations.
So you divide these audiences into groups and bet on the most assertive marketing strategies for each!
Did you see how market segmentation is important?
If you have not done so, you can bet on the technique.
Your business is grateful!
