Market segmentation. Research is the basic tool of marketing. A marketer

Market segmentation. Research is the basic tool of marketing. A marketer must determine what customer needs are. Marketing experts have developed techniques for determining the needs of prospective customers. It's done by way of market segmentation. How can market segmentation be of help to a manager who wants to develop a new product? Every market can be divided into segments or, in other words into separate groups of consumers. First there are demographic factors like age income educational background, occupation, size of family, type of home and neighbourhood etc. Then there are psychographic factors - the customer's opinions and interests' hobbies, vacation sports, favorite sports, etc. Then a product is compared with the goods already established in the market by quality and quantity standards. To be a success you must be ahead of your competitors.
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