Bases for Segmenting Business Markets

Business markets can be segmented with some Of the some variables used in consumer market segmentation, such as geography, benefits sought, and usage rate, but business marketers also use other variables, Bono ma and Shapiro proposed segmenting the hi will ess market With the variables shown in Table 6.2, The demographic variables arc the most impoi'tani. followed by the operating variables down to the personal characteristics of the buyer

The table lists major questions (hat business marketers should ask in determining which segments anil customers to serve. A rubber-tine company should first decide which industries it wants to serve. It can sell tires to manufacturers of automobiles, trucks, farm tractors, furklift trucks, or aircraft. Within a chosen target industry, a company can further segiuem by company si/.e. The company might set up separate operations for selling to large and small customers. Consider how Hell is Organ¡»ed.

Pcli is divided into two direct sales divisions: One soils to consumers and small businesses: another manages (he company's corporal? accounts. Three key segments arc included under ¡tie corporate accounts umbrella: llie enterprise group (MuneSCC companies), large corals accounts (muitlnotionpl complies in wtial would be llie fortune 501 lo 2000 range), and preferred accounts (medium businesses with 200 to ■ 2.000 employees)

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