Chapter

11.5. Market Segmentation*

From IntroductionToBusiness OP 8D04gAa

Concepts

1. How do business markets differ from consumer markets?

   "The main differences between consumer markets and business markets include the following: 1. Purchase volume: Business customers buy in much larger quantities than consumers. Mars must purchase many

2. Why do organizations use market segmentation?

   "Most organizations cannot target the total market for a specific product. For each separate part of the market that an organization wants to target, a marketing mix (a set of 5Ps) must be created. It

3. What are the five basic forms of consumer market segmentation?

   "Demographic segmentation uses categories such as age, education, gender, income, and household size to differentiate among markets. This form of market segmentation is the most common because demogra

4. How are business markets segmented?

   "Business markets are segmented differently than consumer markets. Business markets may segment based on geography, volume, and benefits, just as consumer markets are. However, organizations might als