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What is segmentation

In marketing, segmentation refers to the process of dividing a market into smaller groups of consumers who have similar needs or characteristics. This can be based on various criteria, such as demographics (age, gender, income), geographic location, behavior, and more.

Segmentation allows businesses to create targeted marketing campaigns that are more likely to be relevant and effective for specific groups of consumers. For example, a business that sells sports equipment may segment their market based on the type of sport that the customer is interested in, and create separate marketing campaigns for each segment.

Segmentation is an important part of the marketing process because it allows businesses to better understand their target audience and tailor their marketing efforts to meet the needs and preferences of specific groups of consumers. This can lead to more effective marketing and increased sales.

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