Page 203 - 100 Great Business Ideas: From Leading Companies Around the World (100 Great Ideas)

In practice

• Segmentation needs to be focused: the larger a segment, the

greater the danger that it will lose value.

• The key to segmentation lies in highlighting differences and

specific characteristics: this requires clarity and insight.

• Segmentation should be as simple as possible, avoiding

unnecessary complications and ensuring decisions and views
are rational and clearly communicated.

• Segmentation needs certainty. It is tempting to jump to

conclusions or make assumptions about segments based on
your own experience, background, or prejudice. However,
these can be mistaken and a key element in successful
segmentation is analysis: understanding how something is, and
why it is that way.

196 • 100 GREAT BUSINESS IDEAS