3.

Market Segmentation
Consumer Behavior,
Ninth Edition
Dosen : Anis Gunawan,MM
anisg@pmbs.ac.id
Schiffman & Kanuk

Copyright 2007 by Prentice Hall

1. CB origins and strategic application. Schiffman et al, Ch 1

2. Consumer Research Schiffman et al, Ch 2

3. Market Segmentation Schiffman et al, Ch 3

4. Consumer Motivation. Schiffman et al, Ch 4

5. Personality and CB. Schiffman et al, Ch 5

6. Consumer Perception Schiffman et al, Ch 6

7.Consumer learning Schiffman et al, Ch 7

8. Mid exam Schiffman et al, Ch 1-7

9. Consumer Attitude Formation and change Consumer Behavior,

Schiffman et al, Ch 9

10. Communication and Consumer Behavior Ninth Edition

Schiffman et al, Ch 9

11. Reference Groups and family reference Schiffman et al, Ch 11

12. Influence of culture on Consumer Behavior Schiffman et al, Ch 12

13. Cross-Cultural Consumer Behavior Schiffman & Kanuk

Schiffman et al, Ch 14

14. Consumer Influence and the

Schiffman et al, Ch
Diffusion of Innovation 15

15. Consumer Decision Making and beyond Schiffman et al, Ch

16
Schiffman et al, Ch
16.Final Exam 1 - Ch 16
 Market Segmentation
The process of dividing a
potential market into
distinct subsets of
consumers and
selecting one or more
segments as a target
market to be reached
with a distinct
marketing mix.

BB

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 Three Phases of Marketing
Strategy

Phase 3
Product/Brand Positioning

Phase 2
Target Market and Marketing Mix Selection

Phase 1
Market Segmentation

West East

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 Segmentation Studies
1. Discover the needs and wants
of groups of consumers to
develop specialized products to
satisfy group needs
2. Used to identify the most
appropriate media for
advertising

Segmentation

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 Ryka produces
sneakers that meet
the special needs
of women’s feet.

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 Bases for Segmentation

6. Use-Related
1. Geographic
2. Usage-Situation
7. Demographic
3. Benefit
8. Psychological
Sought
4. Hybrid
9. Psychographic
5. Sociocultural

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 SW

Table 3.1 Market Segmentation

SEGMENTATION BASE SELECTED SEGMENTATION VARIABLES
1.Geographic Segmentation
Region Southwest, Mountain States, Alaska, Hawaii
City Size Major metropolitan areas, small cities, towns
Density of area Urban, suburban, exurban, rural
Climate Temperate, hot, humid, rainy
2. Demographic Segmentation
Age Under 12, 12-17, 18-34, 35-49, 50-64, 65-74, 75-99, 100+
Sex Male, female
Marital status Single, married, divorced, living together, widowed
Income Under $25,000, $25,000-$34,999, $35,000-$49,999, $50,000-
$74,999, $75,000-$99,999, $100,000 and over
Education Some high school, high school graduate, some college, college
graduate, postgraduate
Occupation Professional, blue-collar, white-collar, agricultural, military

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SEGMENTATION BASE
3. Psychological Segmentation
Needs-motivation
Personality
Perception
Learning-involvement
Attitudes
4. Psychographic
(Lifestyle) Segmentation
5.Sociocultural Segmentation
Cultures
Religion
Subcultures (Race/ethnic)
Social class
Family life cycle
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Table 3.1, continued
SELECTED SEGMENTATION VARIABLES
Shelter, safety, security, affection, sense of self-worth
Extroverts, novelty seeker, aggressives, innovators
Low-risk, moderate-risk, high-risk
Low-involvement, high-involvement
Positive attitude, negative attitude
Economy-minded, couch potatoes, outdoors enthusiasts, status
seekers
American, Italian, Chinese, Mexican, French, Pakistani
Catholic, Protestant, Jewish, Moslem, other
African American, Caucasian, Asian, Hispanic
Lower, middle, upper
Bachelors, young married, full nesters, empty nesters
RCB 3-9
 Table 3.1, continued
SEGMENTATION BASE SELECTED SEGMENTATION VARIABLES
6.Use-Related Segmentation
Usage rate Heavy users, medium users, light users, non users
Awareness status Unaware, aware, interested, enthusiastic
Brand loyalty None, some, strong
7.Use-Situation Segmentation
Time Leisure, work, rush, morning, night
Objective Personal, gift, snack, fun, achievement
Location Home, work, friend’s home, in-store
Person Self, family members, friends, boss, peers
8.Benefit Segmentation Convenience, social acceptance, long lasting, economy,
value-for-the-money
9.Hybrid Segmentation
Demographic/ Combination of demographic and psychographic profiles of
Psychographics consumer segments profiles
PRIZM NE Geodemographics “Movers & Shakers,” “New Empty Nests,” “Boomtown Singles,”
“Bedrock America”
SRI VALSTM Innovators, Thinkers, Believer, Achievers, Strivers, Experiencer,
Makers, Survivors

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 Geographic Segmentation
The division of a total potential
market into smaller subgroups on
the basis of geographic variables
(e.g., region, state, or city)

NW SW

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 Demographic Segmentation
1. Age
2. Sex
3. Marital Status
4. Income, Education, and
Occupation

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 Psychological Segmentation
1. Motivations
2. Personality
3. Perceptions
4. Learning
5. Attitudes

Harley-Davidson Video

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 Two High-End Watches for Different
Psychological Segments

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 Psychographic Segmentation

1. Also known as Lifestyle Analysis

2. Psychographic variables include
attitudes, interests, and opinions
(AIOs)

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 Usage-Situation Segmentation
• Segmenting on the basis of special occasions or
situations
• Example Statements:
1. Whenever our daughter Jamie gets a raise, we always
take her out to dinner.
2. When I’m away on business, I try to stay at a suites
hotel.
3. I always buy my wife flowers on Valentine’s Day.

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 Benefit Segmentation

Segmenting on the basis of

the most important and
meaningful benefit

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 Band-aid offers
“flex” as a
benefit to
consumers.

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 Hybrid Segmentation Approaches
1. Psychographic-Demographic
Profiles
2. Geodemographic Segmentation
3. SRI Consulting’s VALS

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 VALS Framework
Figure 3-7

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 Criteria for Effective Targeting
of Market Segments

1. Identification
2. Sufficiency
3. Stability
4. Accessibility

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 Implementing Segmentation Strategies

1. Concentrated Marketing
1. One segment
2. Differentiated
1. Several segments with individual
marketing mizes

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