marketing64

MARKET: people or organisations with needs and wants and the ability and willingness to buy

MARKET SEGMENT: A subgroup of people or organisations sharing one or more characteristics that cause them to have similar product needs
MARKET SEGMENTATION: The process of dividing a market into relatively similar, identifiable segments or groups. It  
-    Involves dividing a market into distinct groups of buyers who have different needs & require separate marketing mixes.
-    Involves dividing the market to identify the most attractive parts to serve.
-    Is a recognition that buyers differ in terms of wants, resources, locations, attitudes and buying practices.
The segmentation process is fundamental to analysing markets - few markets possess buyers who are the same. Both profit-oriented and not-for-profit organisations practice market segmentation.

LEVELS OF MARKET SEGMENTATION
a)    Mass Marketing: This is where the product is mass-produced and the company uses mass promotions and mass distribution of the same product to all consumers. 
b)    Segment Marketing: This is where the company isolates broad segments that can make up a market and adapts the marketing mix to match the needs of one of those segments.
c)    Niche marketing: This is where the company focuses on sub segments/niches with distinctive traits that may seek a special combination of benefits.