Market segmentation if what I want is to sell everyone? This is a misunderstood discrepancy because if what companies want is more customers and sales, this idea lose all sense when is approached in a wrong way. Therefore, on this occasion we will try to vindicate the importance of segmentation.

How many times we have listened to company owners, general managers and decision makers hardly answer the question, which is the market segment your company aims to? Well, in most of the cases answer is very vague and wide, which it is an evident symptom of an unclear strategy for aimed market segmentation.

It is hard for many decision makers to abandon the “we have the segment” idea because this action bears the decision of “setting aside certain part of the market”. Nevertheless, it is worthy to think about of which part of the market is left out, this way we understand the result of segmentation becomes favorable the moment we decide to “focus and pay attention” to a relevant part of the market and not to try to fully cover irrelevant parts included.

It is clear those needs, and kind of segment depends also on the industry or business operations in which we are. It is a fact we must not to segment just for doing it. We must keep in mind when we talk about segmentation, it is about “choosing” a group of people which would be more open to buy products or services from us and share certain preferences and features to look for similar products and services.

Hence, to segment a market consist in dividing a total market into “sub-groups” relatively similar, in consequence it would be more possible to understand better its needs and search for a way to satisfy them and get a competitive advantage. Focusing becomes winning strategy.

We must take in consideration that the decision of segmentation must be examined and validated with an opportunity market analysis, so we choose the most convenient segment for our business strategy. Furthermore, we must consider every existing market segment we have. We also must have a specific marketing strategy for this segment, in other words, we cannot try to offer the same way on products which are aimed to different segments.

Then, main benefit of segmenting is that we can optimize and concentrate resources on the most relevant markets, and with it, increasing sales and gross profit levels.

Day by day segmentation becomes more important because consumers wish to be treated in a unique differentiated way and not as a mass. So now you know it, it is time to focus on winning!!!

By: Nancy Ortiz/Marketeers