The ways of market segmentation what is market segmentation bases of segmentation geographic segmentation,demographic segmentation, gender segmentation,behavioral segmentation, segmentation on occasion,segmentation on benefit sought, segmentation on loyalty status, personal traits,

1. Market segmentation

2. Introduction about food and beverage
sector
Sri Lankan food manufactures and suppliers
offer
• Processed fruits
• Vegetables and juices
• Confectionery and bakery products.
• Processed foods(rice and cereals, animal feed)

3. What is market segmentation?
• Through market segmentation, companies
divide large, heterogeneous markets into
smaller segments that can be reached more
efficiently and effectively with products and
services that match their unique needs.

4. Segmenting consumer market

5. Geographic segmentation
Many restaurants use geographic segmentation
to concentrate their focus on specific regions or
areas. Consumer preferences differ regionally,
which is why geography is important when
aiming to market a product or restaurant.
• ex:McDonalds serve McVeggie in india
McArabia in middle east.

6. Demographic segmentation
Restaurants use demographic segmentation to
determine what customers want based on their
age, gender, education level, and income. These
factors help restaurants determine the spending
and eating habits of customers.

7. Age and life cycle stage segmentation
Many restaurants use different market strategies
targeting different age and life cycle groups.
• Dietary meals Ex: low sugar diets
• Kids meals Ex: McDonalds’(happy
meal) pizzahut

8. • In beverage sector they have designed
alcoholic beverages for male and female by
changing the percentage of alcohol included in
the drinks.
• Example : men-captain morgan
• Women :lime -A-rita
Gender segmentation

9. Income segmentation
• Price segmentation is a very common among restaurants.
Since income can vary widely based on households,
customers are looking for different products. Some
restaurants offer cheap products, while other restaurants will
offer expensive products. The price displays the difference
between a fast food experience and a fine dining experience.
Example: high income earners –hilton ,kingsburry (5 star)
Middle income earners- avenra gardens(4 star)
Low income earners –river garden inn (2 star)

10. Religion segmentation
• Restaurant segment their customers based on
their religions
Example: Non Veg & Veg diets
Nationality segmentation
Based on the nationality food industry can be
segmented targeting consumers under different
nationality groups
Example: Halal Foods For Muslims

11. Psychographic segmentation
Psychographic segmentation is used to determine what
customers want based on their values, opinions, culture,
behavior, and lifestyle.

12. Social status segmentation
• Consumers in the segment use brands and
product as a means to signal their self identity
and social status
• Example :dinner outs at expensive hotels
• Starbucks
• Barizta

13. Personal traits
• Restaurant focus on different personality traits
among people and introduced different
products targeting the different personal
factors
• Example : restaurants introduced different
food items for the people who love enjoyable
life by organizing different food events such as
cocktail parties and beach parties .

14. Behavioral segmentation
• Behavioral segmentation divides the market
into groups based on their knowledge,
attitudes, uses and responses to the product.
The following are commonly applied
behavioral segments.

15. Segmentation on occasions
• Restaurants target different occasions of
customers life and design different food and
beverage items
• Example birthday cakes ,wedding cakes
valentine's day chocolates

16. Segmentation on Benefit sought
• one customer may differ from those sought by
another. Because of this marketers must
continually conduct marketing research to
evaluate customers and to determine what
they want.
• Example –people prefer organic food because
of the health benefits they get through their
consumption.

17. Segmentation on Loyalty status
• This market segment is less involve in their
purchase decisions, and will rely upon strong
brand to guide their purchase decisions.
• Ex: KFC offers different discounts for the
regular customers and also offers different
benefits such as play areas for kids.

18. Other consumer segments
Cuisine
Segmenting based on the type of the cuisine
also leads to more efficient positioning in the
market place both restaurant and commercial
food companies can choose to identify
themselves as belonging to a particular genre.