Market Segmentation & Targeting — GCSE Business Revision
Revise Market Segmentation & Targeting for GCSE Business. Step-by-step explanation, worked examples, common mistakes and exam-style practice aligned to AQA, Edexcel, OCR, WJEC, Eduqas, CCEA, Cambridge International (CIE), SQA, IB, AP.
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Go to Marketing Mix: Product, Price, Place, PromotionWhat is Market Segmentation & Targeting?
Market segmentation is the process of dividing a broad consumer market into sub-groups of consumers (segments) based on shared characteristics. Targeting then involves a business deciding which of these segments to focus its marketing efforts on.
Board notes: Covered by all major boards (AQA, Edexcel, OCR). Students need to be able to identify different ways of segmenting a market and explain the benefits of a targeted approach for a business.
Step-by-step explanationWorked example
A car manufacturer segments the market. One segment is high-income families who want a safe, spacious car. Another is young, single people who want a small, stylish, and affordable car. The manufacturer then targets the family segment with its new 7-seater SUV, advertising it in family-oriented magazines.
Mini lesson for Market Segmentation & Targeting
1. Understand the core idea
Market segmentation is the process of dividing a broad consumer market into sub-groups of consumers (segments) based on shared characteristics. Targeting then involves a business deciding which of these segments to focus its marketing efforts on.
Can you explain Market Segmentation & Targeting without copying the notes?
2. Turn it into marks
A car manufacturer segments the market. One segment is high-income families who want a safe, spacious car.
Underline the method, evidence, or command-word move that would earn credit in GCSE Marketing.
3. Fix the likely mark leak
Watch for this mistake: Thinking segmentation is just about age and gender. Markets can also be segmented by income, lifestyle, location (geographic), and buying behaviour.
Write one correction rule before doing another practice question.
Practise this topic
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Market Segmentation & Targeting practice questions
These are original StudyVector questions for revision practice. They are not official exam-board questions.
Question 1
In one GCSE sentence, explain what Market Segmentation & Targeting is testing.
Answer: Market segmentation is the process of dividing a broad consumer market into sub-groups of consumers (segments) based on shared characteristics. Targeting then involves a business deciding which of these segments to focus its marketing efforts on.
Mark focus: Precise definition and topic focus.
Question 2
A Market Segmentation & Targeting question asks for analysis. What should happen after the definition or calculation?
Answer: It should build a cause-and-effect chain, then evaluate who is affected, what depends on context, and what might limit the recommendation.
Mark focus: Method selection and command-word control.
Question 3
A student makes this mistake: "Thinking segmentation is just about age and gender. Markets can also be segmented by income, lifestyle, location (geographic), and buying behaviour." What should their next repair task be?
Answer: Do one Market Segmentation & Targeting question and review the mistake type.
Mark focus: Error correction and next-step practice.
Market Segmentation & Targeting flashcards
Core idea
What is the main idea in Market Segmentation & Targeting?
Market segmentation is the process of dividing a broad consumer market into sub-groups of consumers (segments) based on shared characteristics. Targeting then involves a business deciding which of these segments to fo...
Common mistake
What mistake should you avoid in Market Segmentation & Targeting?
Thinking segmentation is just about age and gender. Markets can also be segmented by income, lifestyle, location (geographic), and buying behaviour.
Practice
What is one useful practice task for Market Segmentation & Targeting?
Answer one Market Segmentation & Targeting question and review the mistake type.
Exam board
How should you use board notes for Market Segmentation & Targeting?
Covered by all major boards (AQA, Edexcel, OCR). Students need to be able to identify different ways of segmenting a market and explain the benefits of a targeted approach for a business.
Common mistakes
- 1Thinking segmentation is just about age and gender. Markets can also be segmented by income, lifestyle, location (geographic), and buying behaviour.
- 2Confusing segmentation with market research. Market research is the tool used to gather the information needed to segment a market effectively.
- 3Assuming a business can target all segments. Most businesses have limited resources and must choose the segments they can serve most profitably and effectively, known as the target market.
Market Segmentation & Targeting exam questions
Exam-style questions for Market Segmentation & Targeting with mark-scheme style solutions and timing practice. Aligned to AQA, Edexcel, OCR, WJEC, Eduqas, CCEA, Cambridge International (CIE), SQA, IB, AP specifications.
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Step-by-step method
Step-by-step explanation
4 steps · Worked method for Market Segmentation & Targeting
Core concept
Market segmentation is the process of dividing a broad consumer market into sub-groups of consumers (segments) based on shared characteristics. Targeting then involves a business deciding which of the…
Frequently asked questions
What are the main ways to segment a market?
The main methods are demographic (age, gender, income), geographic (where people live), psychographic (lifestyle, values), and behavioural (how they use a product or their loyalty).
Why is market segmentation important for a business?
It allows a business to better understand its customers' needs and tailor its products and marketing messages specifically for them, which is more efficient and effective than trying to appeal to everyone.