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What is the process of dividing a broad target market into subsets of consumers, businesses, or countries who have similar needs, interests, or demand characteristics?

User Marcolz
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Answer:

Market segmentation

Step-by-step explanation:

Market segmentation is the process of dividing a market of potential customers into groups, or segments, based on different characteristics.

Markets can be segmented on the basis of socio-economic groups (income), age, location, gender, lifestyle, use of the product (home/work, leisure/business..) etc. Each segment will require different methods of promotion and distribution. For example, products aimed towards kids would be distributed through popular retail stores and products for businessmen would be advertised in exclusive business magazines

Market segmentation makes marketing cost-effective, as it only targets a specific segment and meets their needs. it also leads to higher sales and profitability and also Increases opportunities to increase sales .

User Pritam Maske
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