Psychographic Segmentation

To recap, there are four ways of market segmentation: we have discussed the demographic and the geographic.

For many years, marketers have used these two basic segmentation tools in determining their target markets. Now that consumer needs and wants have become more sophisticated, they have added two variables in order to more effectively determine the right product for your various consumers. These two are the psychographic and behavioural variables of segmentation.

Psychographic, as the name suggests is, is dividing your target market based on their social class, lifestyle, attitudes, values, and personalities.

Psychographic segmentation is not as easy as identifying where you live or how old you are. It involves an in depth research because it involves knowing your consumers personalities, likes and dislikes. For example, what music they listen to, what hobbies interest them, what TV programs they watch and the like. There are a lot of tools to achieve this data such as surveys, social media, and interviews or perhaps by observing the people around you.

Ex. Most of the neighbourhood is comprised of teenagers/students who love to

The real reason for undergoing a psychographic segmentation is for marketers to be able to shape their product and make it more appealing than their competitors. For example there are two coffee shops. Around the area are schools with students who spend their nights in coffee shops studying. So one coffee shop assessed what their target market needed so they decided to make their place more comfortable, provided pillows and even a bedroom and a shower. So even if both places have wifi, the coffee shop with the shower will appeal the most since it provides what the consumers needed.