Consumer Customer Segmentation
Elements of Consumer Customer segmentation:
Geographic – country, region, density, climate ….
Behavioural – benefits sought, purchase occasions, usage rate, loyalty status….
Demographic – age, gender, social class ….
Psychographic – lifestyle and personality ….
Recognizes that customers do not need the same product or hold the same spending power to create uniform demand
Threat of substitution from other segments
Determine KEY Success Factors
Sources: Speed, reliability, service, design, features, technology, corporate personality, relationship
To determine different market patterns that demands for different capabilities to compete
Well defined segments prevent customer segment switching and creates barriers to entry
Source of Consumer Customer segmentation: