There are two types of segmentation variables:
The basic criteria for segmenting a market are customer needs. To find the needs of customers in a market, it is necessary to undertake market research.
Profilers are the descriptive, measurable customer characteristics (such as location, age, nationality, gender, income) that can be used to inform a segmentation exercise.
The most common profilers used in customer segmentation include the following:
- Region of the country
- Urban or rural
- Age, sex, family size
- Income, occupation, education
- Religion, race, nationality
- Social class
- Lifestyle type
- Personality type
- Product usage – e.g. light, medium ,heavy users
- Brand loyalty: none, medium, high
- Type of user (e.g. with meals, special occasions)