As you can see, at least three target audience segments have been identified in just one industry. It is important to consider the smallest details, as something that attracts one client can push another away. 5. Choose a marketing strategy
Lastly, a company considers the competition in the segment, both current and in the future. A large and growing segment may be profitable but will attract a lot of competition, effectively reducing margins. Strategies are the process of creating product, pricing, communication, and customer management strategies.
It is achieved through the segmentation, targeting, and positioning (STP) process. Market segmentation and targeting help firms determine and acquire key customers. Consumers can be put into segments based on location, lifestyle, and demographics.
How do Companies Segment Consumers? , psychographics, behavior, and benefits sought. Psychographics include the lifestyle, interests, opinions, and personality of the consumer.