Segmentation studies determine similarities and
differences among target groups and identify what motivates them to buy your
brand. These segments are comprised of purchasers who are as similar as possible
to each other, but also as different as possible from those in other segments.
Target segments are then selected and profiled to help you understand how to and
market your product.
A quantitative methodology, such as telephone
interviews, mail surveys, or telephone-mail telephone surveys, is used in
segmentation studies. Analytical tools, such as cluster analysis, are used to
divide the sample into segments, and discriminant analysis is used to determine
the characteristics that motivate each segment.
Marketing Questions
- What are the market segments?
- What are the sizes of each segment?
- What are the characteristics of consumers in each segment?
- Which segments are aligned with our capabilities?
- Which are most profitable?
- Who should be target?
Savitz Success Story
A motor boat manufacturer conducted a market
segmentation study with the introduction of a new model. Our experts were able
to identify profitable target markets. A software product was developed to help
sales people on the showroom floor profile the customer according to the
segmentation. The sales people were able to adjust their sales presentations to
emphasize the appropriate product benefits for the customer.
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