Marketing Management 3(2+1)

Lesson 10 : Market Segmentation

Criteria For An Effective Segmentation

Philip Kotler mentioned five criteria for an effective segmentation which states that Segmentation should be

• Measurable
  • It should be possible to determine values & variables used
• Relevant
  • It should justify expected profit and growth potential.
• Accessible
  • The target customers must be reachable, accessible and servable for the organisaiton
• Distinguishable
  • Target group should be diverse and be able to show different reaction to different marketing mix
• Feasible
  • Firm must have an ability to draw effective marketing programme for customers.

Approaches For Market Oriented Strategy:

There are three basic ways to develop market oriented strategies in product market.