Types of Market Segmentation

In market segmentation and targeting, you want to understand how the market will respond in a given situation, like purchasing your products. A predictive model may be incorporated into the research so you can group individuals within identified segments based on specific answers to survey questions.
There are four main customer segmentation models that form the focus of any marketing plan, they are Demographic, Psychographic Geographic, and Behavioral.

1. Demographic segmentation: 

Demographic is one of the simplest and most commonly used forms of segmentation. This is perhaps the most straightforward way of defining customer groups. Demographic segmentation looks at identifiable non-character traits such as age, level of education, income, family size, race, gender, occupation, and nationality.

Perhaps the most obvious variable of them all, age is a crucial element for marketers to understand due to the fast-paced nature of preference changes within the various stages of life.
Even media consumption differs greatly between each generation, so it’s important to recognize what your target age range is and which channels they use to consume information in order to ensure your tailored message reaches them appropriately.

2. Psychographic segmentation: 

Psychographic segmentation considers the psychological aspects of consumer behavior by dividing markets according to their lifestyle, personality traits, values, opinions, and beliefs, to conscious and subconscious motivators and interests of consumers.
For instance, the fitness market uses psychographic segmentation when they sort their customers into categories of people who care about healthy living and exercise

Compared to demographic segmentation, this can be a harder set to identify. Good research is vital and should be done well.

3. Geographic segmentation: 

Geographic segmentation is often one of the easiest to identify. This involves grouping customers with regard to their physical location. Customers are identified through, country, region, city, and postal code.
It creates different target customer groups based on geographical boundaries, and the differences in interests, values, and preferences vary dramatically throughout cities, states, and countries.

So it’s important to recognize these differences and advertise accordingly in order to effectively expand your business.

4. Behavioral segmentation: 

Behavioural segmentation has similar measurements to psychographic segmentation, but instead, it focuses on specific reactions and the ways customers go through their decision-making and buying patterns such as purchase, consumption, lifestyle, and usage.

For instance, younger buyers may tend to purchase a bottled body wash, while older consumer groups may lean towards soap bars.

Collecting this type of data is similar to the way you would find psychographic data. 
This includes brand loyalty which leasds a consistent buying pattern which is categorized as a behavioral trait.
Marketers should get customers to love and stay loyal to your brand for a consistent purchase cycle, many companies will offer rewards programs to enhance this behavior with the hope of capturing new loyal customers as well.