Page 235 - DMGT308_CUSTOMER_RELATIONSHIP_MANAGEMENT

Customer Relationship Management

Notes their income on fashion, entertainment and socialising. Their desire is to feel good and
having “cool” stuff. They are college-educated and much of their income is disposable.
They have an abstract disregard for conformity and authority. Experiencers seek excitement
and variety in their lives and like to take risks. Their patterns of values and behaviour are
in the process of being formulated. They are fond of outdoor recreation, sports and social
activities. They spend heavily on clothing, music and fast food.
8. Makers: Their motivation is self-expression. They like to be self-sufficient, have sufficient
income and skills to accomplish their desired goals. Makers are energetic, like to experience
the world, build a house, have families, raise children, and have sufficient skills backed
with income to accomplish their projects. They are practical people and have constructive
skills and energy to carry out their projects successfully. Their outlook is conservative,
they are suspicious of new ideas, respect government and authority, but resent any intrusion
on their rights. They are not impressed with others’ wealth and possessions.

Notes For several reasons, psychographic segmentation variables are used on a limited
scale.

To accurately measure psychographic variables is rather difficult compared to other types of
segmentation bases. The relationships between psychographic variables and consumer needs
are often difficult to document. Also, certain psychographic segments may not be reachable. For
example, it may be difficult to reach introverted people at reasonable cost.

Behaviouristic Segmentation

Dividing the market on the basis of such variables as use occasion, benefits sought, user status,
usage rate, loyalty status, buyer readiness stage and attitude is termed as behaviouristic
segmentation.

Buyers can be identified according to the use occasion when they develop a need and purchase
or use a product.

Example: Archies greeting cards are used on many different occasions.
User status, such as non-users, potential users, or first time users can be used to segment the
market. Markets can also be segmented into light, medium or heavy users of a product. Brand
loyalty of varying degrees can be present among different groups of consumers and may become
the basis to segment the market. There are consumers who are very loyal to cigarette brands,
beer and even toothpaste. Markets may also be divided by considering level of product awareness
such as unaware of the product, aware, interested, desirous or contemplating to purchase the
product. Based on attitude, consumers may be enthusiastic, indifferent or hostile towards the
product and these differences can be used to segment the market.

Benefit Segmentation

By purchasing and using products, consumers are trying to satisfy specific needs and wants. In
essence, they look for products that provide specific benefits to them. Identifying consumer
groups looking for specific benefits from the use of a product or service is known as benefit
segmentation and is widely used by marketers.

230 LOVELY PROFESSIONAL UNIVERSITY