Techniques of business research have to mould according to the requirements of global market. When a business owner thinks of expanding his business to global platform, he has to consider global market, customers and competition. When it comes to global market segmentation, techniques for business research change to a great deal. The concepts of market segmentation and business analysis are not new for global market.
However, the approach and techniques of analytics have changed to a greater deal. You have to maintain a customer centric approach in order to make successful launch of your product or service. In order to study pluralization of consumption, you have to divide the customers in a certain group. This is exactly the concept behind segmentation of markets.
Global Market Segmentation for Marketing Research
Considering the vastness of the global market, you must figure out an easy and practical way to study your target customers all at once. Segmentation is a well-known technique for market analysis. It helps the researchers to divide the entire population in various groups. These are relatively smaller groups, based on either their similarities or differences. This differentiation of customer groups helps a market research company to study the right segments of the market. It saves valuable resources, which you can utilize for other useful analytics. Experts use three basic criteria for segmentation of global markets. These are the demographics, behavioral characteristics and psychographics of the global customers.
Demographic segmentation is the most common tool used for segmenting global markets. Demographic characteristics of customers include their gender, age, income, occupation, education, marital status, etc. basic things. When it comes to income, you can use either the gross national product or per capita income of that country.
Behavioral characteristics depend on the way of shopping and expenditure pattern of the customers in global market. Global market research reports can be based on the shopping patterns and preferences. Studying how often the customer shop and which are the products that they prefer buying gives you ideas about alterations and improvements in your products.
Common psychographic characteristics of customers include their value system, lifestyle, attitude, beliefs and mentality. Researchers use various psychographic models for segmentation of global market based on psychological characteristics. Three basic models of psychographic segmentation include SRI International’s VALS Study, Y&R’s Cross-Cultural Consumer Characterizations and D’arcy Massius Benton & Bowles’s Euroconsumer Study.
Global market research reports highly depend on market segmentation. It also means you should maintain accuracy and practicality in the process of segmentation, which grants success and better opportunities.
MarketsandMarkets is a global market research and consulting company based in the U.S. We publish strategically analyzed market research reports and serve as a business intelligence partner to Fortune 500 companies across the world.
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