So now you have a business idea, congratulations. Now you need to trim your product or service to meet specifications of your market, besides you didn’t make the product for you now did you? In the next couple of posts we shall look at geographic, demographic, psycho-graphic, behavioral segmentation and target market analysis (don’t miss this one especially). Because of the sheer bulk of this topic I shall cut it in bits. If you’ve treated the above before, good for you, if you haven’t, then I’m glad to be of help.
Geographic segmentation is the division of the market according to different geographical units like continents, countries, regions, or neighborhoods. This form of segmentation provides the marketer with a quick snapshot of consumers within a limited area.
In summary we can say that geographical segmentation means people from a particular region have a particular behavior which is different from those of another region. This knowledge is very important when you’re selling across regions and online too.
A good example of geographic segmentation is in music. Kids in Nigeria listen more to music in their local dialects whereas kids in Cameroon won’t have affinity to music in their mother tongue because Nigeria has a higher cultural consciousness than Cameroon. Kids in Nigeria are brought up to speak their dialect no matter how rich their parents are, however it’s not the case in Cameroon. Therefore an if an artist in Nigeria wants to thrive he should sing in the mother tongue but if an artist in Cameroon wants to thrive he should sing in other local languages like pidgin English or “francanglais”.
Another good example of geographical segmentation will be on the delivery of drinks by breweries. With knowledge that there are more Muslims (who don’t drink alcohol) for at the north and far north regions of Cameroon, when delivering drinks to these areas the ratio between alcoholic and nonalcoholic drinks will be higher in favor of nonalcoholic drinks. However when going to other regions with a less Muslim concentration the ratio will be higher in favor of alcoholic drinks.
You also have basic things such as language and race. For example if an advert has to be shown in Cameroon the actors will have to be black and the language in either English of French (again depending on region) but however if that same advert had to be broadcast in Sweden the actors would have to be white and the advert in Swedish. Reason being the majority of the population of these countries are black and white respectively and the local languages are English, French and Swedish.
My last example on geographic segmentation will be on purchasing habits. In Cameroon we don’t have a system or rather it’s not predominant to go to shops, take products and pay instalmentally. This system of payment however is a key trait of the more developed countries like the America and in Europe. This explains why adoption rates are higher in these countries because people can have access to products upon release when they are still very expensive. Though distribution is worldwide, there have been more purchases the red iPhone 7 in developed countries than there are in Africa because the system permits easier access in the developed countries.
Exercise: identify a geographical region around you and list out their key characteristics that other regions don’t have and how will these characteristics affect how these potential consumers interact with your business or potential business.
See you next time