Raleigh Trust Bank is analyzing its customer database to identify customers with similar patterns of income and expenditure. The bank is looking at data such as age, sex, family size, loan activity, credit card activity, deposits, withdrawal, and account balances of consumers. The bank has identified three different types of customers based on these factors and is planning to offer different products to better meet the needs of each group. Which of the following marketing concepts is illustrated by the given scenario?
A) Cause marketing
B) Market segmentation
C) Corporate strategy
D) Product augmentation

Question

Quizplus · Accepted Answer

The scenario illustrates market segmentation, which is the process of breaking down a larger market into smaller groups of consumers with similar needs or characteristics. The bank is analyzing its customer database to identify groups of customers with similar patterns of income and expenditure and is planning to offer different products to better meet the needs of each group.

Raleigh Trust Bank Is Analyzing Its Customer Database to Identify