What Are The 4 Types Of Market Segmentation

types of market segmentation demographics targeted marketing geographic

Market segmentation or division is the activity where you divide your target market into sub-groups into distinctive categories. The segmentation of audiences and customers into groups of similar characteristics is categorized into four types: location, needs, interest, and demographics. 

Understanding the different types of market division enables you to create and focus on the right marketing campaign. With these categories comes multiple sub-groups per customer and audience. Effective marketing means you understand these groups' needs by providing the right product, given the perfect timing with less risk and guaranteed investment return. 

That way, you can take advantage of the market divisions groups and have an engaging and competitive campaign directed to the entire group, which can highly benefit a product or service that you offer. 

Types And Benefits Of Market Segmentation 

The various types of market divisions enable you to focus on customers' unique characteristics to create highly-effective sales campaigns and discover potential opportunities for your desired market's completion and success. 

What's interesting about market segmentation is how it can improve your marketing campaign by targeting the right group of people with the same interest in the product or services that you offer. Furthermore, you can customize these marketing campaigns and redefine them to more distinctive sub-groups later. 

The software effectively collects data and the required information to manage accounts, sales, or support quickly. For example, you can customize your data through Commence's segmentation CRM easily, and have peace of mind knowing you're investing with the right tool used by multiple top-tier companies worldwide. 

• Geographic Division 
• Behavioral Division 
• Demographic Division 
• Psychographic Division 

How Business Benefits With Market Segmentation 

One of the critical factors to upscale your business and have a higher success rate is to know the right audience that converts leads into sales. With market division, you can quickly determine the interest, location, status, personalities, and more about your focus audience. 

Furthermore, we've listed the benefits with market segmentation every business must know to have dynamic and successful marketing campaigns. 

• Determine Market Opportunities 

With market segmentation, determining potential and higher success rate sales opportunities is more leisurely. Marketers can conveniently study demands for every division to provide the perfect product with satisfactory results. 

• Develop Market Programmes 

Companies can quickly develop sales programs with your budget with a clear idea for every division response on specific market groups. 

• Adjust Your Sales Appeal 

With market segmentation, you can easily adjust your sales campaign appropriate for every division's interest that caters to individual needs. 

• Design The Right Product 

Knowing and understanding the demands per market division allows you to design the perfect product or service that match groups and sub-groups. 

• Find The Best Media Selection

With market division, you can efficiently allocate and find the best advertising tools to fund your focus audience. 

• Effectively And Efficiently Use Available Resources

With custom-fit sales campaigns and programs ideal for every group, marketers can effectively and efficiently use the available resources for increased sales and conversion. 

• Find The Perfect Timing For All Marketing

With market division, you can create marketing campaigns with a better conversion rate knowing the right timing by promotional efforts. Provide better customer service With a focus market campaign, you can provide the right effort needed by your customers. 

• Fix The Right Price For Products Or Services 

Another benefit of market segmentation is you can quickly fix the right price ideal for market groups from the product or services that you offer. 

• Effectively Assist You With A Distribution Plan

Segmentation provides better assistance in giving the best distribution plans and campaigns required for every market group based on demands, potential interest, and status. The significant advantage of market segmentation is that you can quickly identify the right audience to effectively create a marketing campaign that focuses on their interest or division. With the right audience and customers, you can have higher chances of achieving your business goals and increase the success rate. 


If you are planning an effective marketing campaign for a particular product or service, the bottom line is you have to keep track of which division audience you want to focus on. That way, your campaign will have better engagement and success through the right market needs.

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