Question

Evaluation of profitability of each segment is called

Answer 1

Evaluation of profitability of each segment is called TARGETING.

In marketing if you are trying to reach everybody then you are in contact to nobody.

Hence, targeting is an essential part of marketing.Targeting is a strategy that breaks a large market into smaller segments to concentrate on a specific group of customers within that audience. It defines a segment of customers based on their unique characteristics and focuses solely on serving them.

Targeting may be in the form of :

• Demographics: age, gender, education,  etc.
• Psychographics: values, beliefs, interests, personality, lifestyle, etc.
• Industries : Big or small.
• Geographic areas.