Benefit Segmentation

Benefit Segmentation

It is another type of marketing strategy that formulates campaigns based on consumer benefits from the purchase of goods and services and in turn concentrating efforts on communicating with and engaging specific consumer targets and niche’ demographics.

Benefit segmentation in its purest form helps to identify different markets or groups of consumers who may have been previously ignored but has proven to be attracted by specific benefits offered by a product. By identifying what it is about the product that appeals to different consumer groupings, the company can structure a marketing campaign to reach each of those niche markets and ultimately generate additional sales as a result. When specific segments of a broader base of consumers is looked at it is possible for a company to ascertain what it is about a product that appeals to people in certain age, income bracket, hobby or interest group, and even geographic location. Being able to quantify why each sector or group of consumers chooses to buy a product makes it possible to identify not only which attributes to emphasize in a brand message, but even which advertising vehicles are most likely to reach specific customer groups.

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