What companies use market segmentation?

What companies use market segmentation?

Numerous types of businesses use market segmentation to optimize their ability to sell to a wide variety of consumers, including:

• Skincare, haircare, and beauty product manufacturers.
• Car companies.
• Clothing and apparel suppliers.
• Banks and other financial institutions.
• Television networks and media outlets.

What are examples of market segmentation?

Common characteristics of a market segment include interests, lifestyle, age, gender, etc. Common examples of market segmentation include geographic, demographic, psychographic, and behavioral.

What is product segmentation with example?

Examples. Product segmentation proliferates at large enterprises. For example, General Motors segments its products into different brands — Chevrolet, Buick, Hummer, Cadillac — that are aimed at different socioeconomic groups.

What market segmentation does Coca Cola use?

TARGETED MARKETING. Coca-Cola takes every customer as a target, however its segmentation is mainly based on “age, family size and income.” The perfect segmentation was a main factor for Coca-Cola’s success.

What are the different types of market segmentation?

There are four broad types of customer segmentation. These can be further subdivided into as categories as you like but always use the following classifications as a guide. Demographic segmentation is the simplest and by extension the most widely used type of market segmentation.

Which is an example of B2B demographic segmentation?

A simple example of B2C demographic segmentation could be a vehicle manufacturer that sells a luxury car brand (ex. Maserati). This company would likely target an audience that has a higher income. Another B2B example might be a brand that sells an enterprise marketing platform.

What does IAO stand for in market segmentation?

Psychographic variables are popularly referred to as IAO variables which stands for interests, activities, and opinions. When using this type of market segmentation, professionals must primarily focus on trying to understand the customer on a psyche level. Only after this can he/she craft the perfect marketing strategy.

What is the purpose of psychographic segmentation in marketing?

As the name indicates, this kind of marketing segmentation is used to describe human characteristics of potential consumers. Psychographic segmentation plays an integral role in helping professionals come up with an effective marketing campaign.