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Type of SegmentationPorsche is one of the market leaders in the premium segment of the automotive industry. During a market research exercise, Porsche looked at its consumer data and classified its customers into 5 segments:The top guns profile consists of ambitious and driven individuals who care about power, control and expect to get noticed.The elitists includes individuals that have the attitude that a car is just a vehicle and not an expression of a person’s personality.The proud patrons consist of individuals who see Porsche as a trophy and the result for hard work.The bon vivants profile consists of thrill-seekers with the Porsche as a means of excitement.The fantasists profile of consumers see the Porsche as a form of escape and do not care about impressing others.Identify the basis of customer segmentation.Country and city (Geographic)Race and culture (Demographic)Age (Demographic)Personality (Psychographic)

Question

Type of SegmentationPorsche is one of the market leaders in the premium segment of the automotive industry. During a market research exercise, Porsche looked at its consumer data and classified its customers into 5 segments:The top guns profile consists of ambitious and driven individuals who care about power, control and expect to get noticed.The elitists includes individuals that have the attitude that a car is just a vehicle and not an expression of a person’s personality.The proud patrons consist of individuals who see Porsche as a trophy and the result for hard work.The bon vivants profile consists of thrill-seekers with the Porsche as a means of excitement.The fantasists profile of consumers see the Porsche as a form of escape and do not care about impressing others.Identify the basis of customer segmentation.Country and city (Geographic)Race and culture (Demographic)Age (Demographic)Personality (Psychographic)

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Solution

The basis of customer segmentation in this case is primarily personality (psychographic). Porsche has classified its customers into different segments based on their attitudes, values, and behaviors towards the brand and the car itself. The five segments identified - top guns, elitists, proud patrons, bon vivants, and fantasists - are all defined by the customers' psychological characteristics and motivations. This type of segmentation allows Porsche to target and tailor their marketing strategies to each specific segment, understanding their unique desires and preferences.

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