Essay on Market Segmentation

1886 Words 8 Pages
To reach different markets or to promote your products to different locations or people one has to use a method called market segmentation. "Market segmentation describes the division of a market into homogenous groups which will respond differently to promotions, communications, advertising and other marketing mix variable" (Cumming). Market segmentation is extremely important for companies around the world. If a company doesn't research the area in which they are going to market or they put a product that is either to expensive or to elaborate in an area that can't afford that then they will fail as a company. In my paper I will discussion why market segmentation is used in around the world, the types of segmentation, some techniques …show more content…
Markets can also be divided by using demographic information such as age, gender, family size, family life cycle, income, occupation, education, religion, race, and nationality. This segmentation is the most popular among customer group because of the precise audience you can reach. The different elements of demographic segmentation are important and must be discussed in detail. Age and life cycle segmentation is dividing a market into different are and life-cycle groups. This segmentation can e used in conjunction with McDonalds in how they use toys to bring in children, which in turn brings their parents and there fore McDonalds makes money off the child and the parent. Marketers also must be careful the guard against stereotypes when using age and life cycle segmentation. "Although some 70-year-old require wheelchairs, others play tennis. Similarly, whereas some 40-year-old couples are sending their children off to college, others are just beginning new families (Klein). Companies must recognizes these rarities and market their product extremely carefully. Gender segmentation is dividing a market into different groups based on sex. This type of segmentation can be found when dealing with clothing, cosmetics, toiletries, and magazines. In the 90's though gender segmentation is used in other parts of the market including

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