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JWPM Consulting

What is market segmentation

30 August 2020

Buying anything usually presents the potential buyer with many choices. What suits one buyer doesn't suit another, what makes these people different?

While people are endlessly different, in fact more often than not they share some common traits that supports grouping people into a handful of categories that marketers call Market Segments.

The absolute first step in developing marketing strategy (and even if you skip this step and jump straight to designing an advertisement, writing a blog article, or undertaking any type of promotion) you must identify who the potential buyers are.

The way you communicate with retired people (for example) is very different to teenagers.

While business owners like to think the market for what they sell is "all people" because that presents the largest opportunity, the real situation is quite different.

The basic principles of segmentation