Market segment

As a market segment, a section of a economic market is called, which is characterized by a certain supply-demand constellation. Characteristic of a market segment is its homogeneous as possible group of customers, while the market segments are interconnected heterogeneous.

A strategic business unit, which is divided according to characteristics or type of customer, called segment.

The marketing of a company can be focused on the processing of the overall market or individual market segments.

Market segmentation is the process of dividing the relevant market in market segments, which are then treated with different marketing. It stands in contrast to the undifferentiated mass marketing. The financial statements for the segmentation of entrepreneurial activities should be recorded accordingly by breakdown of certain data.

Examples of market segmentation are the breakdown by geographical criteria and the relationship with the potential customers (ie nationality, territory, region, state, population density, climate) or after demoscopic segments ( ie age, gender, household size, income, occupation, nationality, religion, training, knowledge).