The process of dividing the market into groups of customers with different needs, wants, or characteristics-who therefore might appreciate products or services geared especially for them-is called _____.

Question

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Market segmentation is the process of dividing the market into groups of customers with different needs, wants, or characteristics. This is done so that companies can create products or services that are tailored to the specific needs of each segment, resulting in higher customer satisfaction and sales. Positioning is the process of creating a specific image or identity for a brand in the minds of customers. Targeting is the process of selecting which segments to focus on with marketing efforts. Market penetration is the process of increasing sales in existing markets, while market development is the process of entering new markets with existing products.

The Process of Dividing the Market into Groups of Customers