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This study aims to capture the views of executives about the merit of using the two segmentation approaches (quantitative vs qualitative). Furthermore, this study aimed to examine costs and benefits for two different segmentation approaches, using a minimax simple cost-benefit analysis (CBA) matrix.

A total of 16 semistructured interviews were conducted with executives within the University of Sharjah (UoS). Furthermore, a minimax approach was applied to the CBA study.

Evidence in this study found that the financial cost of quantitative segmentation approaches was higher than qualitative approaches. However, the decision-makers trusted the quantitative approach more regardless of the incurred costs. The study also found that there was a limited knowledge about social marketing and segmentation among executives.

Limitations of this study relate to the methodology applied, the sample selected and the lead research. Another factor is selection bias, which limited this study to one organization’s executives. It is conceivable that middle-level management would have had the desire to participate because they make the recommendations to top management in decision-making. The researcher did not collect precise data on time taken to design, implement and analyses the two segmentation studies, which qualified the precision of the CBA. Also, the fact that the sample includes participants from a relatively narrow range of disciplines should be noted as a limitation of the study.

The current study provides a case study demonstrating how CBA provides a dollar amount estimate permitting alternate segmentation approaches to be compared and contrasted, assisting in the value estimation of any social marketing project.

The paper draws upon two streams of the literature: social marketing and CBA. The paper focused on the understanding of the literature, CBA offers a technique applicable to demonstrating cost savings that can be derived from choosing one method over another. Moreover, CBA assists in understanding the benefits or potential opportunity cost both financially and nonfinancially.

This paper presents one of the first studies conducting a CBA to compare and contrast two segmentation approaches in social marketing. The study provides interesting insights into the perceptions of management executives over alternative research methods, although the results are limited to a case study.

From an early age we categorise the myriad stimuli we are confronted with. This adaptive process continues throughout our lives, and finds a natural expression in marketers’ desire to segment their consumers into different types. Argues that traditional attitudinal segmentations can prove disappointing when looking for differences between groups on behavioural or brand preference measures. Clusterwise regression, a form of latent class segmentation, offers an alternative approach to establishing meaningful market segments, and we present a case study using this technique within the health and beauty sector. Argues that the method’s emphasis on the importance of different attributes to different groups of people could be usefully incorporated into qualitative group methodology to produce meaningful and robust market segmentation.

This paper aims to explore and evaluate practice-based segmentation as an alternative conceptual segmentation perspective that acknowledges the active role of consumers as value co-creators.

Data comprising various aspects of customer-to-customer (C2C) co-creation practices of festival visitors were collected across five UK-based festivals, using participant observation and semi-structured interviews with naturally occurring social units (individuals, couples and groups). Data were analysed using a qualitative thematic analysis procedure within QSR NVivo 10.

Private, sociable, tribal and communing practice segments are identified and profiled, using the interplay of specific subject- and situation-specific practice elements to highlight the “minimum” conditions for each C2C co-creation practice. Unlike traditional segments, practice segment membership is shown to be fluid and overlapping, with fragmented consumers moving across different practice segments throughout their festival experience according to what makes most sense at a given time.

Although practice-based segmentation is studied in the relatively limited context of C2C co-creation practices at festivals, the paper illustrates how this approach could be operationalised in the initial qualitative stages of segmentation research. By identifying how the interplay of subject- and situation-specific practice elements affects performance of practices, managers can facilitate relevant practice-based segments, leading to more sustainable business.

The paper contributes to segmentation literature by empirically demonstrating the feasibility of practice-based segments and by evaluating the use of practice-based segmentation on a strategic, procedural and operational level. Possible methodological solutions for future research are offered.

This exploratory study attempts to cast some light on the state of market segmentation and the issues faced by practitioners amongst a sample of Russian subsidiaries of Western multinational enterprises (MNEs) operating in fast‐moving consumer goods markets.

Qualitative research in the form of depth interviews with seven respondents was undertaken at five MNEs (covering 11 brands across 13 product categories) and one Russian‐owned company which had recently recruited its senior management from Coca‐Cola in Moscow. MNEs were chosen because it was believed they would have the resources to acquire such expertise and knowledge as was necessary to develop a segmentation structure.

The companies researched had indicated that, in most cases, they had not been fully satisfied with their segmentations and so were engaged in continual attempts to improve their segmentations. For the majority, need‐state segmentation was currently seen as a considerable step forward but other options were being investigated. The study shows that factors influencing the search for the better segmentation need to include the nature of the product but also the stage of development of the product category, itself resulting, in most cases, from the pattern of market development in transition economies.

The research uses only a limited number of respondents but there was a large degree of commonality in respect of the key broad issues.

The study has implications for the factors to be taken into account when designing segmentation approaches, including the nature and stage of development of the product category and the purpose of the segmentation.

As far as is known, this is the first study which addresses segmentation issues amongst Russian subsidiaries of Western FMCG multi nationals.

Container shipping is a standardized business-to-business service market where carriers need to stay customer focused to survive. Market segmentation is an ideal solution to develop customized marketing programs for each segment, but container lines need personalized marketing programs for each customer. Hence, the purpose of this study is to develop a segmentation framework that can help container lines to profile each customer more efficiently considering their needs, strategic importance and demographics.

This study has adopted an exploratory approach. Semi-structured interviews were conducted with managers of container lines.

Segmentation bases are the type of customer, container volume, loyalty, seasonality, decision maker, the industry of shipper, cargo characteristics, container type, destination region and export/import. Market segmentation in container shipping can be helpful in developing effective customized marketing offering, including effective price discrimination and customized marketing communications.

A port-specific segmentation approach was adopted and a flexible segmentation framework was proposed for container lines to adapt in different hinterlands.

Unlike the literature, this study suggests market segmentation can be very helpful in customized marketing in business-to-business services like container shipping industry. This study also suggests port-specific market segmentation for container lines instead of route-specific.

States that market segmentation is one of the most important concepts in marketing, though little has been published about its application in business practice. Explores the application of segmentation in Belgian apparel retailing. Compares the views and practices emerging from in‐depth interviews with 22 retail practitioners and six industry experts and contrasts them with the normative segmentation model. Concludes that the retail mix evolves through a cyclical process rather than a linear sequence, and that the segmentation model is more a normative than a descriptive model of retailer behaviour. The data suggest that a simple sequence fails to capture the ongoing iterative process by which retailers adjust their market offerings. Finds that the target market emerges from this process of interaction with the marketplace. Marketing academicians are encouraged to root their work in business practice.

Ontela, a technology start-up company, has introduced an innovative service called PicDeck that improves the mobile imaging experience for wireless subscribers. Ontela sells PicDeck to wireless carriers, who in turn private-label the service to their subscribers. Ontela must decide which customer segments it should target for the service and how to create a positioning strategy and a marketing communication plan to promote it. It must also consider the value proposition of the PicDeck service for wireless carriers (its direct customers), who need to be convinced that the service will lead to higher monthly average revenue per user (ARPU) and/or increased subscriber loyalty. Part A of the case provides qualitative information on customer personae that represent different customer segments. Students are asked to develop a targeting and positioning strategy based on this qualitative information. Part B provides quantitative data on customer preferences that can be used to identify response-based customer segments, as well as demographic and media habits information that can be used to profile the segments. Students are asked to revise their recommendations based on the additional quantitative data.

The case reinforces the principles of data-driven customer segmentation, discusses the appropriate criteria for selecting segments, and provides a deeper understanding of the benefits and drawbacks of different approaches to identifying and evaluating segments. The case illustrates how the results of data-driven segmentation may run counter to approaches that rely on “gut feel” or qualitative information alone.

Market segmentation is widely regarded as a panacea for a variety of marketing ailments. Yet research in the financial services market highlights a number of significant barriers to the implementation of segmentation schemes. These barriers range from weaknesses in customer data and inappropriate organisational structure, to lack of marketing orientation and difficulties in obtaining a fit within the existing distribution structure. While the marketing literature acknowledges that these difficulties exist, there has been little formal analysis to capture the characteristics of these barriers. This problem is compounded by the considerable size and diversity of the sector which make it difficult to generalise about the implementation problems. This means that the extent of any barriers may vary in different areas of the financial services market and even in different organisations and that this variation may feasibly translate into different levels of segmentation usage. This research uses four short financial services case studies to examine the application of segmentation and consider the implementation barriers. Although the case studies cover a range of financial services companies, the analysis focuses on the provision of charge/credit cards by these organisations. The growth rate and increasing importance of the charge/credit card business make this a particularly pertinent area to analyse and allow a comparison with retail banking services more generally. The findings support the notion that a range of barriers to segmentation exists and shows how the importance of these barriers varies in different organisations.

Despite the well‐documented benefits which segmentation offers, businesses continue to encounter implementation difficulties. This raises concerns about the cause of these problems and how they might be overcome. These concerns are addressed in this paper in the form of three questions: Is segmentation a good idea? If segmentation is such a good idea, why does it sometimes fail? What can be done to reduce the chance of failure? A mix of published evidence and case examples is used to explore these questions. The paper concludes by suggesting that if marketers are to overcome their segmentation implementation difficulties, they need practical guidance at three stages in the segmentation process. Before the project begins they must understand the role of success factors contributing to a successful result. During the segmentation project the qualities of the emerging segments must be clarified. After segmentation is complete the question of segment attractiveness must be considered. There is currently a gulf between the priorities of academics and practitioners carrying out segmentation. If this is to be bridged, further research is needed to provide guidance on segmentation success factors.

Ontela, a technology start-up company, has introduced an innovative service called PicDeck that improves the mobile imaging experience for wireless subscribers. Ontela sells PicDeck to wireless carriers, who in turn private-label the service to their subscribers. Ontela must decide which customer segments it should target for the service and how to create a positioning strategy and a marketing communication plan to promote it. It must also consider the value proposition of the PicDeck service for wireless carriers (its direct customers), who need to be convinced that the service will lead to higher monthly average revenue per user (ARPU) and/or increased subscriber loyalty. Part A of the case provides qualitative information on customer personae that represent different customer segments. Students are asked to develop a targeting and positioning strategy based on this qualitative information. Part B provides quantitative data on customer preferences that can be used to identify response-based customer segments, as well as demographic and media habits information that can be used to profile the segments. Students are asked to revise their recommendations based on the additional quantitative data.

The case reinforces the principles of data-driven customer segmentation, discusses the appropriate criteria for selecting segments, and provides a deeper understanding of the benefits and drawbacks of different approaches to identifying and evaluating segments. The case illustrates how the results of data-driven segmentation may run counter to approaches that rely on “gut feel” or qualitative information alone.