Each person has his/her own needs or preferences for a product, services, basket of goods. For this reason companies cannot satisfy to everybody but they look for the way to satisfy to a broad group of people. This is the cause of the existence of market segmentation. Segmentation is a marketing management technique which can help firms to find ways of establishing a competitive advantage.
Marketers design a marketing mix program, and also its policy, aims to specific needs of a segment that company has chosen to launch its product. Apparently, it can be easy but it is not. Companies have serious problems when they want to itself in international market, due to wide divergence in cross-border consumer needs and preferences. Consequently, one of the main objectives of many companies is the segmentation of their targets, in other words, who are the addressees of their product.
It is necessary to consider that market segmentation is the logical outgrowth of the marketing concept .
Industrial market segmentation
Benetton Barbie 1990
BenettonThis means that market segmentation break the borders of the market into various groups of consumers from different countries.
This would be effective if segments are identifiable, sizable, accessible, stability, responsive, and actionable. Therefore, companies would get a good job if they define the segment, which they want to focus, with these features.
The question is whether companies should invade all the segments at once or whether they should pick them off one at a time? In this case, Benetton invade all the segments at once around the world.
Segmentation looking for doing quite a lot use of the resources, however Benetton count on a wide range of resources due to Benetton is a good brand. For this reason, Benetton is able to go to all markets around the world. It is an international brand, everybody...