Behavioral Segmentation
Behavioral segmentation divides the consumer market based on specific behavioral patterns and
preferences. It focuses on how customers interact with products and services and their decision-
making criteria. The key aspects of behavioral segmentation are outlined below:
1. Basis of Behavioral Segmentation:
Behavioral segmentation is typically based on the following:
1. Benefits Sought
2. Purchase Occasion
3. Usage
4. Perceptions
5. Beliefs and Values
Benefits Sought
Behavioral segmentation is often used when customers seek different benefits from the same
product. For example, the fruit drink market can be segmented by the benefits sought, such as:
• Natural ingredients
• Low Calories options
• Providing Extra Energy
• Enriched with Vitamins
• Low Cost affordability
• Offering Pure Organic Juice
This type of segmentation allows businesses to develop specific product variations that cater to
these distinct consumer needs, ensuring a better match with market demand.
Purchase Occasion
Customers can be segmented based on when they purchase a product or service. For instance:
• Example: Tyres may be purchased as a part of routine maintenance or during an
emergency.
• Services Example: Plumbing services may be required urgently during emergencies or
scheduled as routine maintenance.
• Price Sensitivity: This is often higher during emergencies and lower during planned or
routine purchases.
Purchase Behavior
Purchase behavior varies based on the timing or pattern of purchases:
1. Relative to Product Launch: Differences may arise in how consumers purchase
products when a new product is introduced. Early adopters or innovators are often the
first to purchase.
2. Identifying Innovators: These individuals are distinct and can be specifically targeted
with communications tailored to their preferences.
Brand Loyalty
• Segmentation Based on Usage: Customers can be segmented as heavy users, moderate
users, or light users of a product.
• Focus on Heavy Users: Heavy users often receive more marketing attention, including
promotional incentives, as they contribute significantly to the product's success.
• Building Brand Loyalty: Targeting heavy users and fostering loyalty among them often
yields high returns, as these customers are likely to provide repeat business and long-term
value.
Perceptions, Beliefs, and Values
Consumer segmentation can also be based on:
1. Perceptions: How customers perceive the product or brand in comparison to competitors.
2. Beliefs: What consumers believe about the product's functionality, quality, or value.
3. Values: Aligning products with customers' core values, such as environmental
consciousness, health benefits, or affordability.
These are classified as behavioral variables and are vital in creating tailored marketing strategies
that resonate with customer motivations.