ABSTRACT
Segmentation divides a heterogeneous marketplace into smaller and more manageable homogenous components. These smaller market segments can be targeted with more personally relevant positioning strategies that have greater appeal to individuals within the group. In theory, marketers can tailor a unique marketing mix to each segment that can be optimally effective in persuading consumers in the segment to choose their brand or increase brand usage. Thus, the potential benefits of efficient segmentation are substantial, particularly given the fragmented media market that exists today. Evidence of this is given by the emergence of micromarketing practices that target individuals with customized selling propositions through direct mail, direct solicitation, or cable programming.
