Market Analysis : Market Segmentation Essay,Market Analysis : Market Segmentation
The purpose of market segmentation is to leverage scarce resources; in other words, to ensure that the elements of the marketing mix, price, distribution, products and promotion, are designed to meet particular needs of different customer groups WebMarket segmentation is classifying consumers into groups according to their characteristics (Hall et al, ) and set certain groups as targets. Market segmentation consists of WebAug 28, · Through segmentation, the company has managed to ensure continuous customer satisfaction by providing goods and services that meet all the social classes. WebAnswer: (a): Market segmentation is the first step in defining and selecting a target market to pursue and penetrate. Basically, market segmentation is the process of splitting up Web1. The Travel Market can be segmented into 3 segments: Luxury travellers, Adventurers and Budget travellers. These segments are identified by demographics like age and ... read more
The third disadvantage associated with segmentation that companies should overcome is cannibalization. This occurs when some segments overtake others such that no gains are recorded. In some serious cases, the market shares are completely lost. Also, segmentation can send the wrong information to the customers or result in brand dilution. To overcome this disadvantage, companies should ensure that all segments are given equal attention. For example, if the companies decide to add the stock, this should be done in all segments. Market segmentation can also result in over segmentation where individuals are excluded making it difficult to assess the profitability of the market.
This disadvantage can be overcome by companies by keeping segmented sections generalized and large to prevent segmentation downfall. Generally, companies should consider the reasons for carrying out segmentation to overcome their disadvantages. In diverse markets, companies should develop marketing mixes that cater to the needs of small sections of the market instead of developing mixes that meet the needs of all the people. For example, companies can curve a niche in particular segments and customize the marketing efforts to realize full profits. This enables them to satisfy and meet the needs of certain niches in the market hence overcoming most of the disadvantages of segmentation.
Need a custom Essay sample written from scratch by professional specifically for you? Market Segmentation: Advantages and Disadvantages. Learn More. This essay on Market Segmentation: Advantages and Disadvantages was written and submitted by your fellow student. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. Removal Request. If you are the copyright owner of this paper and no longer wish to have your work published on IvyPanda. Consumer Behavior and Purchasing Trends in Marketing International Marketing Strategic Planning.
GET WRITING HELP. Cite This paper. Copy to Clipboard Copied! APA-7 APA-6 Chicago N-B Chicago A-D MLA-9 Harvard. Reference IvyPanda. Another disadvantage comes when the market is over segmented. This is by having very small segments such that they cannot be assessed in terms of their profitability to the company. This may also result in losses being incurred by the company. Segmentation can easily be linked with other marketing mix elements such as promotional activities. This is because the needs of the segments are identified beforehand. For example, if a segment consists of customers of a given age group, the advertisements that will be done within this particular segment will take into account their age. This ensures that the intended message is received and understood well and results in making the marketing of the products effective and easy.
The intended message is also delivered to the intended recipients. Segmentation is therefore important since when it is well carried out it results in the profitability of the company. It is seen that its disadvantages come about as a result of poor segmentation and not from its shortcomings. Therefore, it is advisable as part of the marketing structure to include segmentation as it will improve the profitability of the company. Its implementation should also be done carefully to ensure that the company does not suffer the shortcomings of poor segmentation. Need a custom Essay sample written from scratch by professional specifically for you? The Importance of Market Segmentation. Introduction Market segmentation is a method that is used to manage a larger market.
Learn More. This essay on The Importance of Market Segmentation was written and submitted by your fellow student. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. Removal Request. If you are the copyright owner of this paper and no longer wish to have your work published on IvyPanda. GET WRITING HELP. Cite This paper. Copy to Clipboard Copied! APA-7 APA-6 Chicago N-B Chicago A-D MLA-9 Harvard. Reference IvyPanda. Work Cited "The Importance of Market Segmentation. Bibliography IvyPanda.
Market segmentation is the process through which a huge and homogenous market is subdivided into segments that can be identified without difficulties. The segments are characterized by similar wants, needs, or demand qualities. Most companies are small; hence, they find it difficult to adequately satisfy the whole market; thus, the entire demand is broken down into segments. Segmentation has several disadvantages that companies should overcome. Although segmentation has its advantages, the strategy still has disadvantages that companies should find ways of overcoming. This is because segmentation may lead to losses instead of the anticipated profits and growth of the companies. Different companies experience losses as a result of their failure to overcome the disadvantages associated with segmentation.
The first disadvantage of segmentation that companies should overcome is the disadvantage of the high cost of segmentation. Companies that engage in segmentation incur additional costs since the process of developing separate marketing mixes for each segment involves a lot of effort and additional costs. This interferes with the financial stability of companies and often leads to financial problems. Companies can diversify their sources of income to overcome the disadvantage of increased cost associated with segmentation. They should not solely rely on the financial resources of the company. For example, companies can look for sponsors and other internal ways of increasing their income to cater for segmentation costs.
This is a viable method they can use to overcome the disadvantage. The second disadvantage of segmentation that companies should overcome is the loss of focus on important markets. Market segmentation requires companies to satisfy too many market segments; thus, some crucial markets lack enough attention. This leads to financial shortages because of losing focus on markets that are key in funding companies. To overcome this disadvantage, companies should identify the most important markets and focus on them as they carry out market segmentation. For example, certain workers can be assigned the work of monitoring the crucial markets to ensure that the profits of the company do not go down as a result of losing focus on important markets.
The third disadvantage associated with segmentation that companies should overcome is cannibalization. This occurs when some segments overtake others such that no gains are recorded. In some serious cases, the market shares are completely lost. Also, segmentation can send the wrong information to the customers or result in brand dilution. To overcome this disadvantage, companies should ensure that all segments are given equal attention. For example, if the companies decide to add the stock, this should be done in all segments. Market segmentation can also result in over segmentation where individuals are excluded making it difficult to assess the profitability of the market.
This disadvantage can be overcome by companies by keeping segmented sections generalized and large to prevent segmentation downfall. Generally, companies should consider the reasons for carrying out segmentation to overcome their disadvantages. In diverse markets, companies should develop marketing mixes that cater to the needs of small sections of the market instead of developing mixes that meet the needs of all the people. For example, companies can curve a niche in particular segments and customize the marketing efforts to realize full profits.
This enables them to satisfy and meet the needs of certain niches in the market hence overcoming most of the disadvantages of segmentation. Need a custom Essay sample written from scratch by professional specifically for you? Market Segmentation: Advantages and Disadvantages. Learn More. This essay on Market Segmentation: Advantages and Disadvantages was written and submitted by your fellow student. You are free to use it for research and reference purposes in order to write your own paper; however, you must cite it accordingly. Removal Request. If you are the copyright owner of this paper and no longer wish to have your work published on IvyPanda.
Consumer Behavior and Purchasing Trends in Marketing International Marketing Strategic Planning. GET WRITING HELP. Cite This paper. Copy to Clipboard Copied! APA-7 APA-6 Chicago N-B Chicago A-D MLA-9 Harvard. Reference IvyPanda. Work Cited "Market Segmentation: Advantages and Disadvantages. Bibliography IvyPanda. References IvyPanda. Powered by CiteTotal, best essay referencing tool. More related papers. Check the price of your paper.
The Importance of Market Segmentation Essay,Conclusion
WebSegmentation and Target Market Paper The fundamental component of Market segmentation is a market-based strategy. Market segmentation strategies are WebAnswer: (a): Market segmentation is the first step in defining and selecting a target market to pursue and penetrate. Basically, market segmentation is the process of splitting up WebMarket segmentation allows an agency to look at its different markets, their individual needs and the products that meet those needs rather than mass marketing approach, WebApr 24, · certified writers online. Learn More. Segmentation aims at developing a marketing mix which meets customer’s expectations in a particular segment. Most The purpose of market segmentation is to leverage scarce resources; in other words, to ensure that the elements of the marketing mix, price, distribution, products and promotion, are designed to meet particular needs of different customer groups WebMarket segmentation is classifying consumers into groups according to their characteristics (Hall et al, ) and set certain groups as targets. Market segmentation consists of ... read more
This will ensure that their profitability is checked progressively. Market Analysis : Market Segmentation Words 7 Pages. Unique Aspects of Industrial Market Segmentation. Market Segmentation: The Process Of Market Segmentation? Different companies experience losses as a result of their failure to overcome the disadvantages associated with segmentation.
Mission And Vision Statement Of Lean Business Plan. Best Essays. Market segmentation is a process of segregating the market into different smaller groups. Segmentation, Targeting And Positioning Drawing Upon Views Of Various Scholars. Market segmentation helps the company to serve better their customers and attracts more; thus, helps in gaining competitive advantage. It is important to first look at the tools available to assist with segmenting the market prior to beginning your segmentation. Market segmentation refers to the division of market segmentation essay market into segments that are identifiable and similar, market segmentation essay.
No comments:
Post a Comment