Market Segmentation

A Market segment is a subgroup of people or organizations sharing one or more characteristics that cause them to have similar product needs. Market segmentation is the process in marketing of dividing a market into distinct subsets (segments) that behave in the same way or have similar needs. Because each segment is fairly in their needs and attitudes, they are likely to respond similarly to a given marketing strategy. That is, they are likely to have similar feelings and ideas about a marketing mix comprised of a given product or service, sold at a given price, distributed in a certain way and promoted in a certain way.
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the division of a totally heterogeneous market into groups or sectors with relatively homogeneous needs and wants.

the segregation of a market into groups with common features. Includes; industrial or consumer markets; geographical, socio-economic, behavioural, psycho-graphic and life-style (see segmentation).