Review of segmentation process in consumer markets
2013
Jadczakova, V., Mendel University in Brno (Czech Republic). Dept. of Demography and Applied Statistics
Although there has been a considerable debate on market segmentation over five decades, attention was merely devoted to single stages of the segmentation process. In doing so, stages as segmentation base selection or segments profiling have been heavily covered in the extant literature, whereas stages as implementation of the marketing strategy or market definition were of a comparably lower interest. Capitalizing on this shortcoming, this paper strives to close the gap and provide each step of the segmentation process with equal treatment. Hence, the objective of this paper is two-fold. First, a snapshot of the segmentation process in a step-by-step fashion will be provided. Second, each step (where possible) will be evaluated on chosen criteria by means of description, comparison, analysis and synthesis of 32 academic papers and 13 commercial typology systems. Ultimately, the segmentation stages will be discussed with empirical findings prevalent in the segmentation studies and last but not least suggestions calling for further investigation will be presented. This seven-step-framework may assist when segmenting in practice allowing for more confidential targeting which in turn might prepare grounds for creating of a differential advantage.
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