Page 20 - IMDR JOURNAL 2023-24

IMDR’s Journal of Management Development & Research 2023-24

Benefits of Market Segmentation.

Creates understanding about Boosts consumer
Improves Transparency. consumers. engagement and
brand loyalty.

Enhances possibility for Increased Level of Customer
specialized advertising. Satisfaction.

Some benefits are listed down below:-

Improves Transparency.

Creating transparency is the first and most significant advantage of market segmentation. The most precise

and pertinent information about the market will be available to you once your market data has been cleaned
and mined. Eliminating unnecessary information is the main goal of market segmentation. Clarity will be

improved naturally by this. This will help the company to reach and approach the right group of customers
with the right product and at the right time which will not only improves their sales but will also create a good

branch image and goodwill of the company.

Creates understanding about consumers.

Understanding your prospective client is a constant struggle for any company. With your clients being just a

click away in this digital age, it has gotten increasingly loaded. You can learn more about your consumers,
though, with the help of contact profiles and client segmentation. Understanding your customers will help the

company to create the right product and tailor to the needs and demand of the customers. Like creating the

right product at a minimal price for the low-income group people will be beneficial for the company.

Boosts consumer engagement and brand loyalty.

One of the most significant benefits of market segmentation is customer engagement, since it plays a crucial
role in influencing consumers' demands and interests. To better serve your customers' requirements, you may

create customer and market psychographic segmentation using behavioural data that you get from social
media, the media, and other sources. Market segmentation has enhanced consumer engagement through

communication and motivating activities. In ultimately, this proved to have a favourable effect on brand loyalty

as well.