Best practice: Market segmentation
Dr Adina Poenaru, Sid Simmons, Keith Goffin and Paul BainesMcKinsey and Company, and Cranfield School of Management
Segmentation is fundamental to effective strategic marketing practice but many companies fail to implement it properly. This article suggests that market segmentation is as much about how you do it as it is about what you do with it.
While the academic world discovered segmentation with the publication of Wendell Smith's seminal paper in 1956, the business world has been using segmentation to help boost sales for hundreds of years.
For example, in the early 19th century, German...