Mark all choices that are correct.Which of the four bases of market segmentation tend to have the largest impact on which specific product the customer buys?Group of answer choicesGeographicPsychographicDemographicBehavioural
Question
Mark all choices that are correct.Which of the four bases of market segmentation tend to have the largest impact on which specific product the customer buys?Group of answer choicesGeographicPsychographicDemographicBehavioural
Solution
The four bases of market segmentation are Geographic, Psychographic, Demographic, and Behavioural.
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Geographic segmentation divides the market based on geographical areas such as nations, states, regions, cities, or neighborhoods. This type of segmentation is important for companies that sell products that are relevant to a certain location.
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Psychographic segmentation divides the market based on lifestyle, personality, values, opinions, attitudes, interests, and social class of the customers. This type of segmentation is useful for companies that sell products that align with certain lifestyle choices or values.
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Demographic segmentation divides the market based on demographic factors such as age, gender, family size, income, occupation, education, religion, race, and nationality. This type of segmentation is commonly used because demographic factors are easy to identify and measure.
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Behavioural segmentation divides the market based on the customers' knowledge, attitudes, uses, or responses to a product. This type of segmentation is considered the most important because it uses actual consumer behaviour or product usage to make distinctions among market segments.
So, the Behavioural segmentation tends to have the largest impact on which specific product the customer buys because it directly relates to the way the customer behaves towards or uses a product.
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