Recently, there has been a lot of criticism about the utility of segmentation as a marketing tool. Many authors have suggested that the way the segmentation is carried out by marketers nowadays does not provide much help and value to them. In order to study in detail, the concept of segmentation and its utility in the present marketing environment, this paper presents a brief evolution of segmentation as a concept and practice.The aim of this secondary research is to trace the dynamics of segmentation since the origin of the concept. The study may provide useful insights to researchers and the practitioners concerned with market segmentation and marketing strategies formulations.
Eduardo Castro - Wright, CEO of Wal - Mart commented that, "you end up under serving everyone because you don't have an offering that is specific to that customer segment." Similarly, Clayton M Christensen, Scott Cook, and Taddy Hall mentioned "the prevailing methods of segmentation that budding managers learn in business schools then practice in the marketing departments of good companies are actually a key reason that new product innovation has become a gamble in which the odds of winning are horrifyingly low" (Clancy et al., 2007).
|
