Management Fix: Target Customers Definition and Segmentation

We believe the Management Fixes are common and typical so every description is created and adapted from articles, blog posts and definitions from other sources and authors.

This week’s MngtFix is…

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This week’s “Target Customers Definition and Segmentation” is a stepping stone for a customer-oriented company.

By definition, the target customer is the type of person that a company wants to sell its products or services.
(Extracted and adapted from

Segmentation means to divide the marketplace into parts, or segments, which are definable, accessible, actionable, and profitable and have growth potential. (Extracted and adapted from

Companies employing customer segmentation operate under the fact that every customer is different and that their marketing efforts would be better served if they target specific, smaller groups with messages that those consumers would find relevant and lead them to buy something. (Extracted and adapted from

Companies will not survive if it is dependent upon targeting an entire mass market. The importance of market segmentation is that it allows a business to precisely reach a consumer with specific needs and wants. In the long run, this benefits the company because they can use their corporate resources more effectively and make better strategic marketing decisions. (Extracted and adapted from

Segmentation offers many benefits, including the following advantages.

  • Improves Campaign Performance
  • Informs Product Development
  • Reveals Areas to Expand
  • Improves Business Focus
  • Informs Other Business Decisions.

(Extracted and adapted from

Known Associates

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This MngtFix has been mentioned with many MngtBugs such as…
“Lack of Market Segmentation”,
“Lack of Sales”,
“Lack of Customers”,
“Lack of Sales Strategy”,
“Lack of Customer Analytics”,
and of course “Lack of Customers Segmentation”!

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Human Managers should strive to be humans while managing and be managed as humans!

Written by

Eduardo Espinheira is a Consultant, Facilitator, Manager, Public Speaker, Creator of the Management Bugs&Fixes and the Machiavellian PM Stories

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