Consumer behavior & Market Segmentation Essay Example | Topics and Well Written Essays - 500 words

Consumer behavior & Market Segmentation - Essay Example This model suggests that consumers have some unsatisfied needs and wants whose recognition is the first step in the process. This need can be stimulated by internal or external stimuli. Upon need identification consumers search for information and evaluate the alternatives arising out of that search. Finally the purchase is made in favor of the best-liked brand. Consumers also display post purchase behavior; it is a phase that decides how satisfied the consumer is with the decision and will shape consumer’s re-purchase or recommendation decisions. This whole process is influenced by many factors (Kotler’s Marketing Essentials and cited in Lee [31]) which include social influences, marketing influences, situational influences and psychological influences. According to Stanton (66) â€Å"Marketing segmentation consists of taking the total heterogeneous market for a product and dividing it into several sub-markets or segments each of which tends to be homogenous in all significant aspects.† Consumer buying behavior and market segmentation are related in that segments in a market are formed on four common bases which include geographic, demographic, psychographic and behavioral. Hence behavior is one of the four major bases for segmentation. Segmentation on the bases of geographic (region), demographic (age, gender, religion, education) and/or psychographic (lifestyle or social class) is obvious however considering behavior while segmenting a market for a product is tough since it involves segmenting on the basis of usage, loyalty and other similar attributes which vary from person to person. Segmentation on behavioral basis not only focuses on the consumers traits but is also concerned with what consumers do and then forming a s egment of consumers showing similar behavior/feelings towards a brand. Hence identifying a segment which displays similar behavior/feelings towards a product is