How do you measure the effectiveness of your product marketing segmentation strategy?

When launching a new product, it's important to evaluate market segments to identify the most profitable ones. Start by assessing the size and growth of each segment to understand how many potential customers there are and how much revenue they generate. Use market research, sales data, customer surveys, and analytics tools to gather information on this aspect of the market. Analyze this data to identify the most attractive segments and those that need improvement. Keep tracking the growth of each segment to ensure your product stays relevant.

When I "had" to "read" the book "Porter's Five Forces," I initially scoffed at it and its ideals, but more and more, I find these "Five Forces" crucial to navigating segment penetration and competition share. Quickly put: We can use Porter's Five Forces model to analyze segment penetration. This model is a framework for analyzing a business's competitive environment and identifying potential threats and opportunities. The five forces are: The threat of new entrants The bargaining power of suppliers The bargaining power of buyers The threat of substitute products or services The intensity of competitive rivalry Dig deeper for yourself at: https://www.investopedia.com/terms/p/porter.asp Cheers!

Learn the 80-20 Rule (aka Pareto Principle), and you can basically apply it to almost anything business-related. You could also flip it to 20-80, massage it to 65-35, heck, let's go 69-31 while we're at it. Just learn the 80-20 Rule. https://www.investopedia.com/terms/1/80-20-rule.asp Cheers!

When I "had" to "read" the book "Porter's Five Forces," I initially scoffed at it and its ideals, but more and more, I find these "Five Forces" crucial to navigating segment penetration and competition share. Quickly put: We can use Porter's Five Forces model to analyze segment penetration. This model is a framework for analyzing a business's competitive environment and identifying potential threats and opportunities. The five forces are: The threat of new entrants The bargaining power of suppliers The bargaining power of buyers The threat of substitute products or services The intensity of competitive rivalry Dig deeper for yourself at: https://www.investopedia.com/terms/p/porter.asp Cheers!

I would argue that the metric listed 6th is possibly the most important. However it can be a minefield depending on how the data is collected and sorted. Sales are trained to overcome objections so easily dismiss problems they are faced with when providing feedback. Similarly most marketing and media teams are trained to provide answers to customers to negate negativity and placate consumers. As a result, very often recurring issues that need to be resolved or features that need to be improved especially in relation to product development often get swept under the rug. Having a dedicated product manager or director who's sole responsibility is to ensure the product and messaging is the strongest it can be makes a massive difference.

To measure the effectiveness of a product marketing segmentation strategy, product managers should consider additional factors beyond traditional metrics. These include customer lifetime value, return on marketing investment, customer advocacy, and market share growth. For example, Tesla assesses its segmentation strategy by tracking not only market share and customer satisfaction but also customer referrals and brand loyalty. Understanding these comprehensive metrics provides deeper insights into the success and impact of the segmentation strategy, enabling product managers to refine their approach, optimize resource allocation, and drive sustainable business growth.