Principle of Marketing Report: Market Segmentation Analysis

This report analyzes the principles of marketing, focusing on market segmentation strategies for herbal nutrition products. It examines how companies can segment consumer markets based on demographics, lifestyle, geographic location, and behavior. The report emphasizes the importance of behavioral segmentation for international business expansion. It also discusses demographic and psychographic segmentation, highlighting how understanding consumer preferences and choices is crucial for success. Furthermore, the report evaluates market segmentation methods, including assessing market potential, sales potential, and competitive landscapes. The target market for herbal nutrition products is identified as health-conscious individuals and those seeking an active lifestyle. The report concludes that segmentation is vital for introducing new products and generating revenue in the global market.

Running head: Principle of marketing
Principle of marketing
2018

Principle of marketing
Table of Contents
Introduction.................................................................................................................................................3
Segment consumer market...........................................................................................................................3
Evaluation market segment.........................................................................................................................3
Conclusion...................................................................................................................................................4
Referencing.................................................................................................................................................5
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Principle of marketing
Introduction
Herbal nutrition product is one of well known brands in the market that helps to make people
healthier and happy. The paper demonstrates ample of information about market segmentation
that helps to launch herbal nutrition products in the market.
Segment consumer market
Herbal nutrition products are healthier and happier that prefer by various customers in the
market. The market is divided by the company after considering and monitoring on the four areas
including demographics, lifestyle, geographic and behavioral. If a company wants to sell its
herbal nutrition products in the market then it needs to focus on the behavioral segmentation
because it helps in expanding and flourishing the business internationally. The characteristics of
market segment include age, gender, lifestyle and interests which help in selling the products of
the firm globally (Markgraf 2018). In demographic segmentation the company divides the
market on the basis of various demographic factors including marital status, gender, age and
income. Income level is one of the biggest demographic factors that may affect herbal nutrition
products. On the other hand, the market is divided on behavior, preferences and choices of the
customers. In psychographic segmentation, the organization categorizes the key target audience
on the basis of lifestyle, attitude and personality of people. By segmenting the market, the
company can able to know and analyze preferences, tastes and choices of the potential
customers. Without segmenting the market, an organization can flourish its business activities in
the foreign market. Thus, the firm uses segmentation strategy to sell herbal nutrition products in
Malaysia (Markgraf 2018).
Evaluation market segment
It is stated that segmentation is most significant marketing tool that helps the company to reach
potential customers in the marketplace. By using this strategy, an organization can increase and
enhance sale of herbal nutrition products in Malaysia (Mbaskool 2018). There are various ways
to evaluate the market segmentation method; some of the ways are discussed below.
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Principle of marketing
 By using marketing potential, the firm can easily identify and analyze the income level
and buying behavior of the customers to sell the herbal nutrition products.
 Sales potential is another way to measure whether market segmentation is working
properly or not. The outcome of this assessment gives an idea of how valuable is segment
to the firm.
 An effective and unique key element of each segment is the rival situation.
 The company needs to keep constant eye on the strategies, approaches and products of
rivals in the global market. It will help to overcome the competitors internationally.
One of the key success factors for every company is target market. The growth and success of
the firm is dependent on the potential target market. The main target market for herbal nutrition
is health conscious individuals who belong to high and middle income segments. Apart from
this, young girls who want to be fit and healthy prefer herbal nutrition products. The target
market wants more active lifestyle and healthier life by using these healthy products (Mbaskool
2018).
Conclusion
It is concluded that segmentation is an effective and vital part of every company to introduce
new products in the market as further it also helps to earn more revenue and returns in the global
market.
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Principle of marketing
Referencing
Markgraf,Bert. How to evaluate marketing segments [Online], 2018, Retrieved from
https://smallbusiness.chron.com/evaluate-marketing-segments-61354.html
Mbaskool. Herballife SWOT analysis, competitors & USP [Online], 2018, retrieved from
https://www.mbaskool.com/brandguide/lifestyle-and-retail/6344-herbalife.html
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