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Market segmentation is a convenient method of dividing a market of potential customers into groups with similar wants and needs. The segments created can lead to more targeted messaging to attract customers to the right products and services.
Why is Market Segmentation Important?
Market segmentation makes it easier for businesses and marketers to target and personalize messages to an audience.
Instead of a broad approach, which targets a large group, segmentation leads to a focused message with the potential to connect more intimately with your target audience. Targeted messaging and personalization are more likely to succeed than a generic campaign.
This is not to be confused with a buyer persona, which focuses on the behavioral influences of a buyer. However, to determine your buyer persona, you must first understand your market segmentation and the customer profiles within.