Part II.

Market Segmentation
Marketing Management Process
The different types of Segmentation
Needs
Demographics
Psychographic
Behavioral
Price
Industrial
MARKET segmentation
 Market Segmentation
definition

Process
Division
Heterogeneous
Homogenous
Concentration
 Bases for segmentation in
consumer market
Need
Demographic
Behavioral
Psychographic
Price
Industrial
Need Segmentation
Need Segmentation
benefit segmentation

Done by identifying the consumers needs

and wants
focuses on the specific benefits
consumers receive as the goods and
services offered by a given company
 Demographic
Segmentation
 Demographic Segmentation Variable

Age
-infant, toddler, tween, teenagers, middle age,
matured, retirees
Gender
-male, female, in between
Civil Status
-legitimate single, married, divorced, separated,
single parent, widow/widower
Income
-A, B, C+, broad, C, D, E
 Demographic Segmentation Variable

Education
-illiterate, grade school, vocational, high
school, college, masters, doctoral
Profession
-unemployed, white collar, blue collar,
executive, professional, farmer, retirees, OFW,
owner
Location
Density-urban, sub-urban, rural
Geographic-Luzon, Visayas, Tuguegarao
Family Size
-Bachelor, Small Family, Big Family
 Demographic Segmentation Variable

Religion
-Catholic, Buddhist, Iglesia ni Kristo
Nationality
-Filipino, Chinese, Japanese, .
Climate
-hot, cold
 Behavioral
Segmentation
 Behavioral Segmentation Variable

Purchase Frequency
-regular, occasional
User Status
-non-user, first time user, ex-user, regular-user
Usage Rate
-heavy-user, light user, medium user
Loyalty Status
-Absolute, medium, none, strong, small
Readiness
-unaware, interested, aware, intending to buy
Psychographics
Segmentation
Psychographics Segmentation Variable

Social Issues on:

-religion, politics, work, drugs, womens rights,
sex

Personal interest on:

-family, home, food, health, friends, shopping
 Price
Segmentation
 Price Segmentation Variable

Cost and Quality

 Industrial
Segmentation
 Industrial Segmentation Variable

Demographic
-industry, company size, geography

Operating Variables
-user, non-user status, customer requirements, technology

Purchasing Approaches
-Purchase policies, organization, decision criteria

Situation Factors
-urgency, specific application or end-use, order size

Personal Characteristics
-compatibility, attitude towards risk, loyalty
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End of the Second Chapter