Posted in Marketing and Strategy Terms, Total Reads: 497
Definition: Psychological Segmentation
It is the division of market on the basis of psychographic characteristics of its constituents, hence is also called psychographic segmentation. This is based on an assumption that types of products an indivivual purchases relects his/her patterns of living. It is segmenting the market based on consumer persoanlity like lifestyles, activities, interests, opinions including traits, values and attitudes.
• Succeeder – Confidence, strong goal orientation – support status quo
• Explorer – Experience, challeneger- brand choice highlights difference, adventure
• Reformer – Social awareness, freedom from restrcition, value for time
2. Social Class – Dividing population into groups based on occupation of the “Chief income Earner”, that is on buying power. Income, background and pending habits of the customer determines his/her buyinh power. For example grouping as following social grades:
• A – administrative, professional, higher managerial
• B – Intermediate managerial
• C1 – clerical, junior administrative
• C2 – skilled manual worker
• D – unskilled manual worker
• E – pensioner with no income, widows, lowest grade earners
3. Personality – This psuchograohic segmetation depends on both - Lifetyle and social class. A person will have rich persoanlity only if he has high buying power together with taste in clothes to maintain such a lifestyle.