Consumer segmentation is the division of real and potential consumers of the target audience into subgroups with the same type of needs and buying behavior. Segmentation of consumers based on their values is considered the most modern and accurate type of research
René Descartes said, “Knowledge of a few principles frees you from knowing many facts.”
Values are how people see and feel about the world in which they live, and therefore necessarily influence how and why they purchase products and services. Dividing customers based on their habits and behavior gives insight into their motivations to buy. And since habits change very rarely and a small number of people’s knowledge and understanding of segmentation is important for strategic marketing
Segmentation by value will allow you to:
- Change the brand strategy that will work with the real needs of the target segments;
- Understand consumers: Where are they buying? Reasons for buying? What are their values? Why?
- What products/services to prioritize so that it resonates with the consumer?
Value-based segmentation is a precise and clear understanding of the consumer, his behavior, and motives for purchase, so we can create a truly individual approach for each consumer of a particular group.
For this type of segmentation, the following classification of value segments is used:
- “Achievers”, main message for Achievers: you earned it; you earned it; show the world that you did it.
- “Traditionalists” are characterized by tradition, conservatism, respect for the family, respect for the household and lack of interest in fashion;
- “Thrifty”, thriftiness, simplicity in everything, discounts or supermarkets are popular for them;
- “Caring”, stability in relationships, helping family, supporting friends,
- “Hedonists” search for a new experience. Freedom of thought and not being afraid to be different from others;
- “Rationalists” quality, minimizing nature’s pollution, making smart choices. The balance between beauty, quality, and price;
- “Self-sufficient”, the main value is, to be honest with yourself. The awareness of choice comes first.
Segmented by these value groups, target audiences can be examined in sociodemographic, geographic, economic, mental, behavioral, and other categories, according to the target research objective.