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Segmentation of Dell

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Segmentation of Dell
Segmentation and customer profile.

Segmentation is dividing a market into a smaller groups that shared similar needs, wants, characteristics, and behaviours towards the goods and services. (reference). The market segmentation is a must and important to the all oraganizations. This is because each customers have different needs and wants, so that by segment the market, the organization can identify which customers that can match with their products and services. In Dell, the segmentation is a backbone for them. There are two segmentation criteria in Dell; segmenting consumer market and segmenting business market.

In the segmenting consumer markets, there are geographic, demographic, socio-economic, behaviour and psychographic segmentation. In Dell, the purpose to segment the consumer markets is focus to the personal users or for home users. The geographic segmentation refer to divide a market into a different geographical units such as nations, states, regions, countries, cities or neighbourhoods. (reference). In Dell, they segment the market to all nations. This is because Dell is spealize in online purchasing. However, Dell more focus on segment the developed and developing countries because percentage of consumer that used technology from developed and developing countries are high. In other hand, the demographic segmentation is dividing a market into a group based on age, gender, education etc. Consumer needs and wants change with age. (reference). In Dell, there are many different types of consumers; generation x, generation y and baby boomers. For example, consumers from generation y might need a lot of new applications or software in their computers. Then, in Dell, the socio-economic segmentation is based on consumer’s income. Based on their income, Dell can easliy identify and divide them into a similar group that share same range of income. Next, behavior segmentation is dividing a market based on consumer knowledge, attitude, use or response to a

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