Market Segmentation For Small Business

Market segmentation is one of the steps in setting up and directing to a specific market. This is the process of division of the market into different groups of buyers, who need a product or marketing differently.

The key to success in today's market is to find a slight difference in the business as the spearhead marketing. Business targeting specific market will promote its products and services more effectively than one that is intended for consumers "average"

Opportunities in marketing increased when it was discovered certain groups of clients and consumers with diverse needs and desires. The market can be divided or addressed by using a variety of factors. Basic segmentation of the consumer market includes:

* Basic demographics (age, family size, life cycle, occupation)

* Basic Geographic (state, region, country)

* Basic Behavior (product knowledge, usage, attitudes, responses)

* Basic psychographic (lifestyle, values, personality)

A business must analyze the needs and desires of different market segments before determining its niche.

In order to be effective market segmentation, remember the following things well:

* Target or market segment must be accessible to businesses

* Each group segmentsi must be large enough so that it can be used as a solid customer base.

* Each group segment requires a separate marketing plan.

Large companies to segment the market by conducting market research projects. This research is an investment that is too large for small businesses, but there are few alternatives for small businesses in its market segment.

A small business can do the following to gain knowledge and information about how to segment their markets:

1. Use a secondary data sources, and qualitative research. You can use the following as a data source external secondary:

* Trade publications and associations as well as from experts

* Publication of basic research

* Services external measurement

2. Conduct an informal factor and cluster analysis with:

* Observing important competitor effort and mencotohnya

* Talk with important buyers regarding the introduction of new products

* Conduct analysis of qualitative research interests with individuals and groups

There are many reasons a marketing divide into smaller segments. Whenever you suspect the presence of a significant and measurable difference in your market, you should consider market segmentation. Thus, you will facilitate the marketing, finding a niche market and make your marketing resources more efficiently.