What is intermarket segmentation?

To begin with, the word Inter- in intermarket is actually a short form of the word international. A
simple explanation can lead to a better understanding to students. Different level of marketing
required different segmentation for a business to work. Intermarket segmentation refers to the
action of forming a group of target market with same needs and buying habits even though they are
located in different places. This component is divided into a few main segments accordingly to its
criteria.

The first segment is the geographic or location segmentation. This segment is focusing on the
regional and needs of a country. The segmentation can be form based on many factors such as the
season. As we all know some country experience season changes such as spring, summer, winter and
autumn while some experience climate or weather change. The high and low elevation of a place are
also one of the factors that is considered in this segment. Imagine a company investing their money
by selling a snow jet ski in Malaysia would it be suitable? This are the kind of problem that need to
be avoided.

The second segments are demographic segmentation. This is the most common elements that
business refers to as it divides people based on common factor such as age, gender, income, religion,
education and few others. This segmentation can be considered used by most of industry in this
world because it really reflects the buying behavior of people and made it easy for company to
identify and recognize.

The third one is psychographic segmentation. This division focus on the behavioral of people on a
step closer. A deep study on the aspect such as the lifestyles, values and interest of people were
made and turn them into a segment that enable people to generate specific production or service on
them.

The last segment is behavioral segmentation. It is done by a company by referring on the daily basis
of buying pattern of the target customer. The aspect of frequency, types of brands, designing and
event current occasion are the aspect that is identified.