SEGMENTATION THEORY AND IMPLEMENTATION

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SEGMENTATION THEORY AND IMPLEMENTATION
(A Case Study of Akzo Nobel Coatings and Paint Company)


LITERATURE REVIEW ON SEGMENTATION AND ITS IMPLEMENTATION WITHIN AN ORGANIZATION
In enforcing segmentation strategy for an organization, the basis why this is done is to satisfy customer, and enable them to have choice in meeting their taste and satisfaction within the varieties of product or tailored services the organization exhibits. Segmentation is not specifically used in marketing strategy; it embraces the whole aspect of the organization’s activities. In this view, Clarke & Freytag (2002), argue, “Segmentation in an organization should be perceived as a whole process, not just for marketing process, but should be linked to every aspect of the organization’s task that should be performed”.
Segmentation is a tool that is utilized in influencing the development of an organization’s product base. In an organization’s bid to satisfy its customer’s taste the organization embraces segmentation strategy that tends to be in constant creation of innovations in its product through the expansion in the areas its operates. Thus, the selection of customer and the good to produce in order to satisfy their needs is a core concept for engaging in segmentation. “In this regard segmentation should be seen as a distinct concept whose aim is to give guidance on how to select customers and what solutions to develop that meets the selected customers need” (ibid)


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Numbers of References: 16
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