What is Lifestyle Segmentation?
Lifestyle segmentation is the process where we divide the potential buyers according to their similar lifestyle. Lifestyle segmentation is a business term that is used to see the actual buyers in a group of people with similar needs, likes, and dislikes. The most important is buying preference we can need to see in the similar buyers. The motive of this to analyze the people’s lifestyle and according to that set the target market and do the planning. If you want to learn about lifestyle segmentation, then read this article complete we will brief you about lifestyle segmentation. So let’s begin…
What is Segmentation?
Segmentation is an integral part and process of the marketing strategy of any organization for their goods and services. It is important to understand the different segments and analyze the target customer needs. After that, it will ensure that your product will reach the targeted customer. It actually dividing a market into different potential and actual buyers and each buyer has something in common with another.
Working of Lifestyle Segmentation
Lifestyle segmentation works by categorizing the customers based on their preference and their lifestyle. This categorizing can depend on the person sitting time at home or at the work. You need to categorize the customer’s target audience with their data. You need to collect the group of people data into your database and there you can categorize the customer with the target customer’s lifestyle. With the help of customer data you can easily identify the target audience and you will able to communicate with them. With the help of CRM, your work will be easier and you will easily identify the audience. By categorizing the customers and their preferences according to their lifestyle then you will able to increase the sale of your products.
Types of Lifestyle Segmentation
- Innovators: Innovators take charge of the customer’s needs who lives with a variety of product and each product satisfy the desire of the customer when they find them and they have a financial thing to buy them.
- Thinkers: These are Mature and deep thinkers. Also, they are having practical, responsible, well-informed, and well-educated consumers who have the money to buy the product, that they need. they make buying decisions after screening all the product information and then target desired products of value.
- Achievers: These goal-oriented consumers and living a busy life. They only focus on their family, place of worship, and work. They only choose the trustable products that save their time, effort, and money.
- Experiencers: These are traditional and even conscious consumers. These are having their own self-experience of buying the product. As they find the outlet and store online go and experience the products detailing themself. These types of customers are having a habit to spend more on products, fashion, and entertainment.
- Believers: These are traditional and pure authentic and having deeper views on family, religion, and their own country. They’re predictable buyers who favor established brands. They only buy branded products. They never experiment.
- Strivers: These fun-loving consumers and habit of spending much because they are associated with wealth. But it is not necessary they will buy on the luxury lifestyle what they desire. But Still, they are very active, impulsive in shopping. They buy what they want to buy.
- Makers: They do everything by themself and they are happy in that only. Whether they are working on small projects also but still they are happy. At the time of buying the product, they give up at the time of buying the luxury product. They only use basic products.
- Survivors: These types of customers buy a minimum product and they buy the same product all the time. They are more focused on the stability of the product and never do experiments. They always select stick and pure products with minimum resources.
Benefit of Lifestyle Segmentation
- Gain Customer Trust: If you understand the lifestyle habits and preferences of your main customers, you will be able to deliver the benefits and meet customer needs and full fill their desires accordingly. That your competitors may not understand and even serving the customer and also not even aware of this.
- New chances in the Market: If you are aware of the customer lifestyle and on what type of product them spending, then you can make or develop a new product with some rectification on them. This way you can attract the customers and earn profit from this.
- Existing customers: It is important to make new customers but existing is also a more important one. You need to monitor the changing lifestyle of the people and their needs. then you are able to keep them happy with your product according to the change in the lifestyle and not able to lose your goodwill also and competitors will not understand why their products are not selling and your sale is increasing.
Pros & Cons of Lifestyle Segmentation
- Increases customer understanding and builds bonding with the customers
- Allows for customized messaging
- It Can be expensive
- It will be very time-consuming if done manually
- Negative consequences if you use inappropriately information