Final answer:
Marketers segment a market by creating subgroups with shared characteristics. An example is Nike, which segments its market by factors like age, gender, and athletic interests to tailor marketing strategies and increase customer engagement.
Step-by-step explanation:
Market Segmentation Strategies
Marketers segment a market by dividing a broad target market into smaller, more manageable subgroups based on shared characteristics. These subgroups may be defined by factors like age, gender, income, lifestyle, or geographic location. This approach allows companies to tailor their marketing strategies to specific segments, enhancing the effectiveness of their campaigns and improving customer satisfaction.
Example of Market Segmentation
An example of a North American brand utilizing market segmentation is Nike. Nike segments its market based on various factors such as age, gender, and athletic interests, among others. For instance, Nike has specific marketing strategies for categories like women's fitness, men's running, and youth athletic apparel. By developing products and advertising campaigns that cater to these distinct segments, Nike has been able to build a strong brand presence and increase its customer base.