State two examples of business segments and explain why these would be a feasible business segment

The business segment is the partition of the customers and the audience according to the different characteristics like location, interest, needs and so on. The following are two examples of business segments.

• Demographic segmentation

Demographic segmentation is the categorization of the customers according to their demographic factors like age, gender of the customer, family situation, education, annual income and so on. The business divides the customers according to the demographic conditions and produces and distributes the products and services according to their needs.

• Psychographic segmentation

It is the type of segmentation where the business classifies their customers according to their values, attitudes, personality traits, interests, lifestyles and priorities. It is difficult to find out the personal values and interest for the segmentation.

Segmentation is an important tool used by the business to target their customers according to their characteristics and interest. The business segmentation can be made using proper researches, effective market campaigns and based on the unique characteristics. Through this segmentation the business can understand the peoples and their needs and wants. The proper market researches and campaigns, the business a feasibly create correct and useful segments.