Segmentation, Demographics and Behavior
Segmentation is the process of breaking down the intended product market into manageable groups; it can be broken down by:
Behavior
- Needsโeconomic, functional, psychological, social.
- Benefits–quality, service, economy, convenience, speed.
- Attitude toward product--Enthusiastic, positive, indifferent, negative, hostile.
- User status--Nonuser, ex user, potential user, first time user, regular user.
- Loyalty status--None, medium, strong, absolute.
- Brand Familiarity-Unaware, aware, informed, interested, desirous, intending to buy.
- Occasion–Regular occasion; special occasion, convenience, comparison shopping, unsought product.
- Type of problem solving needed-routine, limited, extensive.
- Information required-low, medium, high.
Geographic Location
- Region of world, countryโ North America, South America, Africa, Asia, Europe.
- Regions within that countryโ (For Example USA) Pacific Northwest, South, Midwest, New England.
- Size of cityโ population under 5,000 people to 4 million or more.
- Urban vs. ruralโ country, city, large city = more resources, more independence; country=more dependence on neighbors and pooling resources.
- Climateโ cold, hot, rainy, desert, beaches, mountains.
Demographics
- Incomeโ under $5,000 to $250,000+ a year.
- Genderโ male, female, neither, both.
- Ageโ Infant, toddler, preschool, tween (age 8 to 12), teen, college age, 20, 30, 40, 50, 60, 70-90.
- Family sizeโ 1 person, 2, 3, 4, 5 or more.
- Family life cycleโ young, single, engaged, DINKS (double income no kids), SINKS (single income no kids), married with kids (babies, toddler, elementary school age, teen, older), recently divorced, empty nester (children have moved out), same-sex couples, single parents, extended parents (grandparents raising their grandchildren), retired (either wealthy or Medicare dependent/poor). There are also Boomerang Kids (adult children have moved back home), Cougar/Silver Fox (Cougar is a 40-60 year old weathly, single, career driven woman seeking a younger man; Silver Fox is a 40-60 year old wealthy, single, career driven man seeking a younger woman).
- Jobโ unemployed, housewife, part-time, full-time, student, professional, craftsperson, farmer, retired.
- Educationโ grade school or less, some high school, high school graduate, some college, college graduate, graduate degrees.
- Religionโ Christian, Jewish, agnostic, atheist, Muslim, Islam etc.
- Raceโ White, Black, Asian, Hispanic, Native American, mixed race, etc.
- Culture/nationalityโAmerican, French, English, African, Russian, Indian etc.
- Generationโ (For Example USA) GI Generation, Silent, Matures, Baby Boomer, Gen X, Gen Y, Boomlets.
Psychographics
- Lifestyleโ interests, hobbies, activities, interests, opinions, values, media preferences. Everyone has two lifestyles, the one they are in now, and the one they desire to be in, which is usually better than the current one. Almost all decisions are influenced by the buyerโs current and desired lifestyle.
- Personality traits
- Sincerity.
- Excitement.
- Competence.
- Sophistication.
- Ruggedness.
- Social classโ Lower, middle-low, middle, middle-upper, upper, upper-upper, working class, blue collar.
- Relationship
- Customer Type
- Product Use
- Buying Situation
- Purchasing Method
- Behavior
- Geographic Location
- Demographics
- Psychographics
Relationship
- Kind of relationshipโ weak, strong, โarmโs lengthโ dealing, close partnership.
Customer Type
- Type of customerโ manufacturer, service, government, military, non profit, wholesaler, retailer, end user.
Product Use
- How customerโs use productโ installation, components, accessories, raw material, eaten, professional service.
Buying Situation
- Buying situationโ rebuy, modified rebuy, new purchase.
Purchasing Method
- Purchasing methodsโ Internet, long term contract, warranty, financing, cash on demand.