Psychographics marketing involves dividing potential customers into groups, according to their psychological characteristics. Psychographic segmentation could be used to segment. It focuses on the definition, basis of market segmentation and issues related to market segmentation in detail. The key difference between psychographic and behavioral segmentation is that psychographic segmentation focuses on customers personality trait, values and attitudes, whereas behavioral segmentation focuses on activities of the customer market segmentation is one of the key aspects of the marketing strategy. A psychographic segmentation that showed differences in health or outcomes is a perfect case for population health. The effectiveness of demographic and psychographic.
If you have access to a journal via a society or association membership, please browse to your society journal, select an article to view, and follow the instructions in this box. Or to put it another way, market segmentation is the division of a mass market into identi. Pdf the use of demographic and psychographic segmentation to. While some broad elements of market segmentation e. This is followed by an overview of the main techniques used to establish and verify segments, including automatic interaction detector, conjoint analysis, multidimensional. Psychographic segmentation is a method of dividing markets on the bases of the psychology and lifestyle habits of customers.
Psychographic segmentation of indian urban consumers. The importance of psychographic variables is clear for the researchers of. Its aim is to identify and delineate market segments or sets of buyers which would then become targets for the companys marketing plans. Pdf psychographic segmentation in the financial services context. Its basically a method of market research that divides consumers based on their psychological characteristics. Approaching psychographic segmentation in b2b marketing. Psychographic segmentation is dividing your market based upon consumer personality traits, values, attitudes, interests, and lifestyles. This is an exciting and different way to engage consumers in their health care.
We describe a novel hybrid behavioralpsychographic segmentation approach to segment stakeholders on potential barriers to a target behavior. European journal of business, economics and accountancy vol. Increased brand value of the organization in the eyes of the customer. Case studies of patient behaviors change with significant results are included in this paper. Psychographic segmentation is a legitimate way to segment a market, if we can identify the proper segmentation variables or. It involves the careful analysis of the behavioral factors that influence a. Psychographic segmentation could be used to segment markets according to personalit y. This way of segmenting is an interesting way since it gets into how people think in terms of the. The main purpose of psychographic segmentation is based on attitude, lifestyle, value and. This whitepaper describes patientbonds proven psychographic segmentation model and discusses how patientbond operationalizes this approach through digital engagement. Market segmentation is a crucial marketing strategy. Psychographic research can identify similar values, attitude, and lifestyle or personality groups, but the two main variables used in.
Psychographic segmentation is the smartest way for companies to stand out and identify the critical needs of customers. Psychographic and demographic differences in segments are noted. Market segmentation and its impact on customer satisfaction with especial reference to commercial bank of ceylon plc. Psychographic segmentation of restaurant service market. For marketers, psychographic segmentation means selecting the most likely buyers based on their interests, activities and lifestyle choices. An overview of psychographic segmentation with examples. Until now, operationalizing psychographic segmentation has been challenging. The research has the main goal of developing a strategic and operational marketing strategy plan by using vals psychographic segmentation for implementing the marketing strategy the main purpose of the study is to provide a frame work for. The impact of market segmentation and social marketing on. This article is a shortened and revised version of the inauguration speech that bernd schmitt delivered in october 1996 in shanghai as the bat chair of marketing at ceibs.
This type of segmentation divides the market into different groups based on social class, lifestyle and personality. Global journal of management and business research volume xii. In this paper, we report the results of a survey conducted amongst 560 respondents in the five metropolises. Psychographic segmentation is one type of segmentation technique which we will concentrate on. It is important to remain creative when conducting segmentation research, as many different ways to segment a market can exist. Psychographic segmentation is a market segmentation technique where groups are formed according to psychology, lifestyle, personality, social status, daily activities, interests, and opinions. Pdf psychographic segmentation in the financial services.
The criteria that a company chooses should be good predictors of differences in customer needs and the way they buy. Demographic and psychographic variables based on the differentiation of consumer brand preference were used to elicit the characteristics of market segments. This research paper will provide information about the knowledge gap and will show a path for future research in the area of market segmentation, which. To define the target audience, marketers conduct market.
A great strategy to implement when segmenting psychographically is to gain a deeper understanding of who the users actually are. This research paper will provide information about the knowledge gap and will show a path for future research in the area of market segmentation, which is the heart of marketing now a day. Psychographic segmentation goes beyond the typical social and economic demographical factors that we have studied as marketers. Psychographic segmentation is the next frontier for health care, said david homan, director of marketing and innovation and a shareholder at mcgohan brabender. Psychographic segmentation is one which uses peoples lifestyle, their activities, interests as well as opinions to define a market segment. An empirical investigation of fast food industry article pdf available april 2012 with 3,128. Psychographic segmentation marketing in the public sector. Psychographic segmentation has been used in marketing research as a form of market segmentation which divides consumers into subgroups based on shared psychological characteristics, including subconscious or conscious beliefs, motivations, and priorities to explain and predict consumer behavior.
An empirical investigation of fast food industry article pdf. The advantage to marketing management is that this technique divides total demand into relatively homogeneous segments which are identified by some. A more powerful use of psychographic segmentation could be applied if there was a demonstrated relationship between the segmentation and some aspect of health or disease. Another aspect of psychographic segmentation is personality. Psychographic segmentation is a way to categorize audiences and customers by factors that relate to their inner personalities and characteristics.
The psychographic segmentation, in the literature, has been extensively researched. Psychographic segmentation advantages apart from the obvious advantage of increased sales, there are a few other intricate advantages of psychographic segmentation as well. Since 1991, india is emerging as a key destination for marketers from across the globe. Download fulltext pdf download fulltext pdf behavioralbased segmentation and marketing success. Market segmentation market segmentation is the division of a market into different groups of customers with distinctly similar needs and productservice requirements. What are some examples of psychographic segmentation.
Segmentation will allow you to better develop and market. However, market segmentations full potential has not been applied to the public health context. Mostly starbucks customers belong to the generation y which was born between 1977 and 2000 fromm 2014. A study of psychographic variables proposed for segmentation for personal care products through factor analysis dr. Pdf psychographic segmentation based on belief factors. The demographic segmentation by starbucks is between 25 and 40 years of age with high incomes, the second target group is 18 to 24 year of age and belongs to richer families. Psychographic segmentation is increasingly important today as consumers group themselves into smaller and smaller interest tribes such as iron man athletes, game of thrones fans, bbq smoker cooks, fortnite players or social justice warriors. The descriptors comprise demographic and general psychographic variables frequently used in segmentation studies and studies of consumer purchase behavior. Psychographic segmentation was developed by marketing researchers to correlate personality with. Psychographic segmentation, or behavioral segmentation, is a method of dividing markets on the bases of the psychology and lifestyle habits of customers.
Psychographic segmentation of tourists show all authors. It may sound complicated, but with the segmentation examples above, youll have a better understanding of how and why customers. American journal of business education june 2011 volume 4. An analysis on the conditions and methods of market segmentation. Pdf vals values and lifestyle psychographic market. Learn all about psychographic segmentation definition, variables, examples, and advantages to implement it. Pdf with growing competition, loyal customers have become the key to the companys success. We then apply the method in a case study of demand generation for voluntary medical male circumcision vmmc among 1529 yearold males in zambia and zimbabwe. Difference between psychographic and behavioral segmentation. Psychographic segmentation in the financial services context. It is believed that the indian metropolitan consumers are fairly homogeneous in nature. The evidence is overwhelming that the covariates are related to brand use in an identical way.
Psychographic segmentation 5 factors for marketing. A case study for a psychographic behavioral seg mentation. Other hand, this paper is pursuing to describe some precise subjects from psychographic angle through the antecedents. Pdf psychographic market segmentation of junior college. This is moving way beyond generational segmentation, he said. Psychographic segmentation was developed by marketing researchers to correlate personality with brands. Psychographic segmentation is quite similar to behavioral psychographic segmentation but psychographic segmentation also takes the psychological aspects of consumer buying.
Companies that use psychographic segmentation essay example. Segmentation is used mainly to target a certain group from within a population. The use of demographic and psychographic segmentation to. Psychographics is classified as the study of personality, values, attitudes, interests, and lifestyles. International journal of economics, commerce and management, united kingdom licensed under creative common page 549 and this is why banks should rather focus on getting a holistic understanding of their customers needs than engaging the market with readymade pigeonholes for groups of buyers. Segmentation lastly, we come to psychographic or lifestyle segmentation, based upon multivariate analyses of consumer attitudes, values, behaviors, emotions, perceptions, beliefs, needs, benefits, wishes, and interests. Before we get to the examples of psychographic segmentation, lets look at what it means exactly. The predictive relationship of a large and comprehensive set of personal descriptors to aspects of product and brand use is examined. It is the marketers and the sellers of products and commodities who use this technique in order to decide their marketing strategy. Unlike demographic and geographic segmentation, which focus on quantifiable and visible details, psychographic segmentation focuses on less obvious details.
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