Marketing segmentation

Marketing segmentation refers to the marketing term that describes the grouping of potential buyers in groups or segments that have similar needs and respond similarly to marketing actions.

Market segmentation allows companies to target different types of consumers, who may perceive certain services and products differently. VALS is also a type of segmentation. You may wonder What is VALS in Marketing?

Its value lies in the fact it allows for the focus of marketing efforts and resources to reach the most important audiences and achieve business goals. It also allows customers to be identified and to determine what their needs are in the market. This helps with designing and executing better marketing strategies.


7 benefits of market segmentation

Segmentation is a great way to develop your marketing strategies. Here are some examples:


  1. Create stronger messages

You will be able to create stronger marketing messages if your company has identified the buyer persona. This will allow you to avoid using generic language and vague messages that are addressed to a broad audience. Instead, use direct messages that address the specific needs, wants, and characteristics of your target audience.


  1. Find the most successful marketing strategies

It can be hard to choose the right marketing strategy for your company. There are many options. Different market segments can help you determine which marketing strategies will work best. Knowing your target audience will help you determine the best marketing strategies and tactics to reach them.


  1. Create hyper-targeted ads

You can target your audience based on their location, age, purchasing habits, interests, and other factors. These characteristics will help you create targeted and more effective digital advertising campaigns when you use market segmentation.


  1. Attract and convert quality leads

Marketing messages that are clear, concise, and directed to the right audience attract the right people. You will convert more people into buyers if you attract users that are in your buyer persona.


  1. Your brand should be different from the rest

You can differentiate yourself from your competitors by being more specific about the value propositions you offer and the messages that you send. You can distinguish your brand from other brands by being more specific about the needs and characteristics of your customers, rather than blending in with them.


  1. Establish a stronger connection with your customer

Knowing what your customers want and need allows you to communicate and offer offers that resonate and are unique. This unique value and message create brand affinity and strengthen relationships between customers and brands.


7.- Identify niche market opportunities

A market niche is a segment of the market that has very specific characteristics and is often overlooked. Segmenting the market can help you find neglected niches for new products or services.



There are many ways to segment the market, but these four types of segmentation are the most popular.

1 Demographic segmentation

Demographic segmentation is a popular method of segmenting markets. This refers to statistical information about a particular group of people.

  • Age
  • Sex
  • Income
  • Nationality
  • Occupation
  • Civil status

This data is easy to gather because it can be observed or easily accessed through customer interactions and surveys.

B2C companies may find it easier to track personal traits, but B2B businesses are more likely to look at traits that relate to the entire business. This is known as firmographic segmentation. These are key demographic traits

  • Industry
  • The company’s size
  • Employees


  1. Segmentation psychographic

Segmentation psychographics uses factors that are related to customers and audiences. Because they are subjective, these factors can be more difficult to identify than demographic factors. These factors are not data-centric and will require research to uncover and understand.

  • Personality traits
  • Values
  • attitudes
  • Interests
  • Lifestyle
  • Psychological influences
  • Conscious and subconscious beliefs
  • Motivations
  • Priorities


  1. Behavioral targeting

While psychographic and demographic targeting focus on the customer’s identity, behavioral targeting is focused on the customer’s behavior. This requires you to know your customers’ actions since these activities could be linked to how they interact with your brand or other activities.

  • Use rate: The user is either frequent or infrequent.
  • Shopping habits
  • Brand awareness
  • Information about the product or service
  • History of shopping


  1. Geographic segmentation

It all comes down to location. It is simply about identifying consumers based on their geographical location. This could be a person’s, an organization’s, country, state, or city.

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