Question: How Do Companies Use Psychographic Segmentation?

How is psychographic segmentation used?

Psychographic segmentation is a method used to group prospective, current or previous customers by their shared personality traits, beliefs, values, attitudes, interests, and lifestyles and other factors.

Every prospect or client/customer has a different psychographic make up..

What is an example of psychographic segmentation?

A common example of psychographic segmentation is a luxury mobile-manufacturing brand that specializes in customization. … They can also evaluate the same variables for their competitor’s target market as well for the better selection of a market for their branding activities.

What companies use market segmentation?

Numerous types of businesses use market segmentation to optimize their ability to sell to a wide variety of consumers, including:Skincare, haircare, and beauty product manufacturers.Car companies.Clothing and apparel suppliers.Banks and other financial institutions.Television networks and media outlets.

What does psychographics mean?

Psychographics is the study of consumers based on their activities, interests, and opinions (AIOs). It goes beyond classifying people based on general demographic data, such as age, gender, or race. Psychographics seeks to understand the cognitive factors that drive consumer behaviors.

What is behavioral segmentation with example?

Behavioral segmentation is the process of sorting and grouping customers based on the behaviors they exhibit. These behaviors include the types of products and content they consume, and the cadence of their interactions with an app, website, or business.

How does Nike use psychographic segmentation?

Nike also uses psychographic segmentation to target individuals with specific lifestyles and personalities. To use this variable effectively Nike must target individuals who enjoy sports. Whether it is playing, watching or simply talking about sports, these activities shape personalities and lifestyles.

What are 4 types of behavioral segmentation?

What are the four types of behavioral segmentation? The four main types of behavioral segmentation are based around purchase behavior, occasion-based purchases, benefits sought, and customer loyalty.

Why psychographic segmentation is important?

Psychographic characteristics are important because they provide a much narrower and targeted view of the customer or consumer. Psychographics move the business closer to the right customers and consumers who are likely to buy their products and services.

How do you identify psychographic segmentation?

Psychographic Segmentation Factors to ConsiderAttitudes and Values. How an individual has been raised and the experiences they have been exposed to mold their values. … Personality. … Social Status. … Activities and Interests. … Priorities and Motivations. … Travel & Transportation. … Food Tech. … Media & Entertainment.

What is the difference between psychographic and behavioral segmentation?

Psychographic segmentation refers to the consumer as a person and seeks to understand them and their lifestyle and key values and activities. … Behavioral segmentation is a measure of their actions and thoughts as a consumer.

What are the 7 market segmentation characteristics?

Market Segmentation: 7 Bases for Market Segmentation | Marketing ManagementGeographic Segmentation: … Demographic Segmentation: … Psychographic Segmentation: … Behavioristic Segmentation: … Volume Segmentation: … Product-space Segmentation: … Benefit Segmentation:

What are the basis of segmentation?

The four bases of market segmentation are: Demographic segmentation. Psychographic segmentation. Behavioral segmentation.