Segmentation v.s. Discrimination

From class, we have learned about the different bases related to market segmentation. The concept of segmentation as defined in class is dividing the market into different  segments and appealing to each individual segment. As supported by an external marketing blog (http://behavioraltargeting.biz/segment-marketing/), market segmentation can yield more potential benefit for the company. However, is this marketing strategy of segmenting really

fair? According to the example given by the marketing blog, firms may choose to appeal to different segments through their rifle preference. Unfortunately, this can easily turn into a type of discrimination  as there are always going to be various people within the segments who prefer other appeals. If enough people feel like they’re missing out, chances are, segmentation suddenly becomes discrimination. This should be of concern since it can create a negative impact of the company’s image, especially if there are a lot of unsatisfied customers.

As hard as it is for marketers to target specific groups to appeal to, it’s also hard for consumers to look for specific companies that actually match their preferences. Most consumers don’t have a favorite brand due to the fact that marketers target small segments of people. In fact, sometimes each individual person may be too unique to fall into segments categorized by marketers. Also, people change very often and with such a dynamic life, it would seem really difficult and almost even impossible to be able to maintain good relationships with consumers using such strategy. Therefore, as practical as this concept of segmentation may seem, the significant aspect of it is quite skeptical.

1 thought on “Segmentation v.s. Discrimination

  1. Segmenting to best meet consumer needs is beneficial for a company; however this goes back to basic cost/benefit analysis – at what point is it still worth it to customize to such small segments? Great post!

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