The purpose of segmenting, or breaking down, your market is to help you understand who your customers are and how to more effectively sell to them. This will tell you who the most likely people are to purchase your product. This will also guarantee a high return on your marketing expense.
There are two types of markets: business to consumer (B2C) and business to business (B2B). B2B generally involves products/services which are sold to other businesses. For example, if you are selling bread to sandwich shops, then you are in the B2B segment. Our focus here is B2C, which in our example means you will be selling sandwiches directly to your customers. These are two completely different segments and each one should be targeted with a completely different marketing strategy. Following is an outline of the most important segmentation characteristics for the B2C market: Continue reading “Market Segmentation” »
