An auto parts supplier divides repair shops into those with the lowest, medium, and highest potential levels of sales and profits, which means the segmentation approach being used is:

Question

Quizplus · Accepted Answer

The segmentation approach being used is customer value, as the supplier is segmenting the market based on the potential sales and profits of the repair shops, which is a reflection of the value that the customers provide to the supplier. Industry segmentation involves dividing the market based on the type of industry or business that the customers operate in, geographic segmentation is based on the location of the customers, and usage segmentation is based on how the customers use the product. None of these approaches seem to be relevant to the scenario described in the question.

An Auto Parts Supplier Divides Repair Shops into Those with the Lowest