HTM 302 Lecture Notes - Lecture 7: Market Segmentation, Psychographic, Marketing Mix

• School: Ryerson University
• Department: Hospitality and Tourism Management
• Course: HTM 302
• Professor: Rachel Dodds

Document Summary

Describe the characteristics of markets and market segments. Market: people or organizations with needs or wants and the ability and willingness to buy. Market segment: a subgroup of people or organizations sharing one or more characteristics that cause them to have similar product needs. Market segmentation: the process of dividing a market into meaningful, relatively similar, identifiable segments or groups. More precise definition of customers" needs and wants. Discuss criteria for successful market segmentation (measurable, accessible, substantial, actionable) Identifiable/ measurability: segment must be large enough to warrant a special marketing mix. Accessibility: segments must be identifiable and their size measurable, members of targeted segments must be reachable with marketing mix. Responsiveness: unless segment responds to a marketing mix differently no separate treatment is needed. Describe the bases commonly used to segment consumer markets. Segmentation bases: characteristics of individuals, groups, or organizations used to divide a total market into segments.