“Market Segmentation: Still the Bedrock of Commercial Success”(Source: https://www.marketingjournal.org/market-segmentation-still-the-bedrock-of-commercial-success-malcolm-mcdonald/) In light of the phenomenal advancements in marketing technology, it is important to dispel some of the popular myths surrounding market segmentation and explain why needs-based segmentation is still the main route to commercial success. The most common objective of modern commercial organizations is the sustainable creation of shareholder value. This can be achieved only by providing shareholders with a total return, from capital growth and dividend yield, that exceeds their risk-adjusted required rate of return for this particular investment. In today’s highly competitive environment, the major sources of shareholder value creation are the intangible marketing assets of the business, such as brands, customer relationships and channels of distribution, the 70% of the company’s value that does not appear on the traditional balance sheet. Consequently, the critical future marketing strategies of a company, which indicate how these assets are to be developed, maintained and exploited, are the role of properly trained marketing specialists, not some one playing around with technology.Market segmentation is one of the most fundamental concepts of marketing and is the key to successful business performance. It’s fairly obviously that there is no such thing as an average customer or consumer – it’s a bit like saying my head is in the oven and my feet are in the fridge, so on average I am quite comfortable.This article is not aiming to spell out the correct processes for carrying out proper needs-based segmentation, but rather to reinforce, for a new generation of marketers, the fact that rarely is any kind of marketing effective without it and that it has become even more important with the advent of new technology. For example, most so-called digital strategies are ineffective because the company does not have a robust marketing strategy that spells out what the target markets are, how they are segmented and what the value proposition is for each key segment.It suffices to say that any organization that embarks on any segmentation path other than needs-based segmentation is doomed to waste an awful lot of time and money. QUESTION;Cite some reasons why do most marketing teams prefer multiple segmentations strategies? and which do you think is the most important reason?

Question

“Market Segmentation: Still the Bedrock of Commercial Success”(Source: https://www.marketingjournal.org/market-segmentation-still-the-bedrock-of-commercial-success-malcolm-mcdonald/) In light of the phenomenal advancements in marketing technology, it is important to dispel some of the popular myths surrounding market segmentation and explain why needs-based segmentation is still the main route to commercial success. The most common objective of modern com­mercial organizations is the sustainable creation of shareholder value. This can be achieved only by providing shareholders with a total return, from capital growth and dividend yield, that exceeds their risk-adjusted required rate of return for this particular investment. In today’s highly competitive environ­ment, the major sources of shareholder value creation are the intangible mar­keting assets of the business, such as brands, customer relationships and channels of distribution, the 70% of the company’s value that does not appear on the traditional balance sheet. Consequently, the critical future marketing strategies of a company, which indicate how these assets are to be developed, maintained and exploited, are the role of properly trained marketing specialists, not some­ one playing around with technology.Market segmentation is one of the most fun­damental concepts of marketing and is the key to successful business performance. It’s fairly obviously that there is no such thing as an average customer or consumer – it’s a bit like saying my head is in the oven and my feet are in the fridge, so on average I am quite comfortable.This article is not aiming to spell out the cor­rect processes for carrying out proper needs-based segmentation, but rather to reinforce, for a new generation of marketers, the fact that rarely is any kind of marketing effective without it and that it has become even more important with the advent of new technology. For example, most so-called digital strategies are ineffective because the com­pany does not have a robust marketing strat­egy that spells out what the target markets are, how they are segmented and what the value proposition is for each key segment.It suffices to say that any organization that embarks on any segmentation path other than needs-based segmentation is doomed to waste an awful lot of time and money. QUESTION;Cite some reasons why do most marketing teams prefer multiple segmentations strategies? and which do you think is the most important reason?

Accepted Answer

Market segmentation may be an essential element of many corporate tactics. numerous selection…