SIMKIN - B2B SECTORISATION

Question 1

PROCESS OF MARKET SEGMENTATION

Answer 1

1. Convening the team = cross functional/hierarchical workshop
2. Describe current customer groups = existing segmentation
3. Analyze customer characteristics & buying behavior in each group
4. Proliferate number of distinctive groups = as many buying proforma as needed
5. Re-aggregate customer groups to form market segments
   = identify common traits across the proformas
6. Select target segments & develop marketing programs
   = adress a limited number of segments & define respective marketing mix