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Market segmentation

4 weeks ago
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The most successful businesses understand the needs of their customers. Consideration of how the market can be segmented is an aid to such understanding. It can also help you to assess the competition and locate gaps in the market.

Dividing a market into segments helps you identify the most important segments for your business.

In any market, the customers will have a range of differing needs. These needs might be met by different products, or by similar (even identical) products presented differently. It is impossible to target successfully every customer in a market. Dividing a market into segments helps you identify the most important segments for your business. It helps you to understand its composition and makes it easier to interpret and present statistical information. You can then position products to appeal to particular customers.