Type of market segmentation and process flow chart

1. TYPE OF MARKET
SEGMENTATION
&
PROCESS FLOW
CHART

3. 1. DEMOGRAPHIC
For example, typical B2C demographic traits include:
 Age
 Gender
 Occupation
 Income
 Family status
 Education
Meanwhile, a B2B audience might include the above, as well as:
 Company size
 Industry type
 Role (within company)
 Time in position

5. 2. GEOGRAPHIC
1. Continent
2. Country
3. Region
4. City
5. Borough/District

7. 3. PSYCHOGRAPHIC
1. Interests
2. Attitudes
3. Values
4. Lifestyle

9. 4. BEHAVIOURAL
1. Awareness of the business
2. Previous purchases
3. Purchase patterns
4. Usage level
5. Product knowledge
6. Product/service rating

10. BEHAVIOURAL

12. 5. NEEDS-BASED
Need-based customers are driven by a specific need. In other words,
they enter the store quickly, purchase what they need, and leave.
These customers buy for a specific need or occasion and are hard to
upsell. It is important to note that need-based customers can be easily
drawn to other businesses.
Therefore, it is important to initiate positive personal interaction with
this customer segment in order to retain them. Converting need-based
customers to loyal customers is attainable with proper positive
personal interactions.

14. 6. TRANSACTIONAL
(RFM)
Recency. How recently a customer
purchased from your business.
Frequency. How often they
purchase from you.
Monetary. How much they spent.

16. Segmenting Your Customer Base With RFM Analysis

18. To perform an RFM segmentation analysis,
export your customer data with the
following columns by customer:--
 Customer name
 First order date
 Last order date
 Number of orders
 Total revenue

19. Example of RFM Scores by Segment
ORDER RECENCY SCORE
Order Recency = 5 (ordered in the last 30 days)
Order Recency = 4 (ordered in the last 31 to 60 days)
Order Recency = 3 (ordered in the last 61 to 120 days)
Order Recency = 2 (ordered in the last 121 to 180 days)
Order Recency = 1 (ordered more than 181 days ago)
ORDER FREQUENCY SCORE
Order Frequency = 5 (14 or more orders)
Order Frequency = 4 (between 9 and 13 orders)
Order Frequency = 3 (between 4 and 8 orders)
Order Frequency = 2 (between 2 and 4 orders)
Order Frequency = 1 (1 order)
MONETARY SCORE
Monetary = 5 (ordered more than 351)
Monetary = 4 (ordered between 201 and 350)
Monetary = 3 (ordered between 151 and 200)
Monetary = 2 (ordered between 51 and 150)
Monetary = 1 (ordered less than 50)

21. 11 Customer Segment

25. FLOW CHART OF MARKET
SEGMENTATION
1. IDENTIFY THE TARGET
MARKET
2. IDENTIFY EXPECTATIONS OF
TARGET AUDIENCE

26. 3. CREATE SUBGROUPS
4. REVIEW THE NEEDS OF THE
TARGET AUDIENCE
5. NAME YOUR MARKET
SEGMENT

27. 6. MARKETING STRATEGIES
7. REVIEW THE BEHAVIOR
8. SIZE OF THE TARGET
MARKET