Contents

• Introduction 5
• Market Segmentation 7
• Customers’ Perspective of Segmentation 9
• Criteria for Effective Segmentation 10
• Effective Segmentation 12
• Ineffective Segmentation 12
• Market Aggregation and Market Segmentation. 14
• Aggregated Market 14
• Differentiated Market 15
• Market Segments 16
• Segmenting Markets 18
• Market Strategy 20
• Factors of segmentation: 21
• Consumer Market Segmentation 21
• Business Market Segmentation 23
• Market Needs of a Business Customer 24
• Strategic Category 24
• Operational Category 25
• Functional Category 25
• Segmentation Categorization based on Needs 25
• Segmenting Business Customers 27
• Segmenting Individual Customers 28
• Purchase Decision Influencers 29
• Decision Makers 31
• Market Segmentation –Literature Review 34
• Strategic Market Segmentation 40
• Dimensions of Marketing Segmentation 42
• Objectives and objects of segmentation 43
• Market Segmentation of Retail Industry 45
• Symantec Corporation 45
• Operations 45
• Consumer Products 46
• Security and Compliance 47
• Storage and server management 47
• Services 48
• Analysis 48
• Segmentation Of Symantec’s Market Approach 50
• Recommendations 51
• Conclusion 53
• References 56

Description

One of the most important components of marketing is segmentation. It is rare that a company operates in a market without segmenting it. If an entire market is homogeneous then firms can sell their products without segmenting. However, practically no market in its entirety is homogeneous. A potential market can be segmented based on several factors. Business markets are segmented quite differently from consumer markets as the purchasing behaviors of both business and individual customers are different. The purpose of segmenting the market is to allow the marketing programs and efforts to focus on specific groups of prospective customers that are expected to purchase the products or services. Marketing efforts require identification of consumers with similar consumption patterns and customizing the products and promotional offers to suit them. Grouping of customers based on their needs and buying behavior is required for effective marketing. Segmentation is this grouping of customers with similar characteristics of consumption and purchase. Grouping of customers in a market into different homogeneous clusters is called segmentation. Organizations can customize the marketing mix for specific target markets rather than offering the generic marketing mix to vastly different customers to satisfy customer needs with the help of market segmentation. Markets segments are not completely exclusive. Instead different segments can have some of the characteristics common among them. Organization can fetch higher returns by incorporating efficient segmentation of their markets. A broad segmentation can be between business and individual customers. These business and individual customer segments can further be divided based on common characteristics. Marketing segmentation enables organizations to customize their products and services to match the needs of different consumer clusters. Segmentation of the market has the advantage of being able to target and cater to customers groups who have similar consumption patterns. The flip side of segmentation is that of over segmentation. Over segmentation is about dividing the market into too many smaller groups. While the advantages of optimum segmentation can be increased profits, disadvantages of over segmentation can be many. One of the main disadvantage of over segmentation is increased costs and resources that are need to maintain all the segments. And if one of the smaller segment is not doing well, it could pull down the performance in other segments. Promotional campaigns vary among segments as the needs of each segment is different. A market segment needs to be measurable if the effectiveness of the segment and the marketing efforts can be accounted for. Symantec Corporation is one of the most successful antivirus software company in the world. It is headquartered in the USA and has a branch in the UK. It operates through offline stores of retailers and has an online store in the UK. It caters to both individual and corporate customers. It has high degree of segmentation in its market focus and product range. This dissertation research first discusses theoretical aspects of segmentation and then discusses segmented market focus of Symantec UK.