Market Segmentation

Market Segmentation

A marketing term referring to the aggregating of prospective buyers into groups (segments) that have common needs and will respond similarly to a marketing action.

Notes:

For example, an athletic footwear company might have market segments for basketball players and long-distance runners. As distinct groups, basketball players and long-distance runners will respond to very different advertisements.

See also: Banner Advertising, Brand Equity, Capitalism, Demand, Market, Marketing, Mass Customization, Supply