What is a segment?
A group of buyers or prospects, who have a number of characteristics and elements in common among all their members.
A segment is a group of people who share certain characteristics with each other. Dividing the market makes marketing simpler and more manageable because it allows us to understand more precisely what needs and preferences each group has.
This way you will be able to better optimize your marketing budget and your actions will be more effective and profitable.
Therefore, the best definition of market segmentation is based on considering the market, not as a single and indivisible entity, but as a grouping in which each individual has its own particularities.
Some of the main variables for segmentation are:
- By behavior: one of the main characteristics when segmenting is how the customer behaves towards your products, services and business. What products they buy, how often, how they pay, what shipping method they prefer, etc,
- By demographic characteristics: this variable is related to age, race, gender or characteristics such as marital status, economic situation or profession.
- By location: in the location variable we focus on the place of residence. We can talk about country, region, city, neighborhood, etc.
- By lifestyle and personality: lifestyle-related characteristics are key to segmentation. What kind of activities do they do, what is their social class, what is their attitude towards life, what is their way of being.
Story mode
Sofía is 30 years old and lives in Buenos Aires, in the Recoleta neighborhood with her dog Paco.
He has been working in technology for 2 years in a US company where he was able to consolidate the knowledge acquired during his career.
Sofia buys products for Paco from Puppies on a weekly basis. Generally, food, toys and clothing.
She belongs to the segment Champions for Puppies, given her characteristics.
Lucas is 18 years old and lives with his mother and brother in the Nuñez neighborhood.
He works as an intern in a finance company where he learns daily about his passion: economics.
Lucas takes care of his dog Achilles. He buys food once every two months at Puppies. Take advantage of the promotions that the brand launches in order to save money.
He belongs to the Promising Puppy segment, given his characteristics.