Over the past decade, brands that were once available only to the wealthy have created more affordable product extensions, giving a far broader range of consumers a taste of the good life. jaguar, for instance, launched its x-type sedan, which starts at $30,000 and is meant for the "almost rich" consumer who aspires to live in luxury. by marketing to people who desire a luxurious lifestyle, jaguar is using:
B. Psychographic Segmentation
Psychographic Segmentation is the division of a product's consumers into various units according to their values, belief systems, traits, attitudes, interests, aspirations and lifestyles among others. An organisation can use this method on all levels of consumers including previous, current and prospective customers.
The idea is to find a way to make the same product appeal to different segments of customers by appealing to particular belief systems in their psychology. The marketing of the X-type Sedan by Jaguar to the almost rich consumer actually appeals to the psychological need of this segment of consumers to be considered as rich people. By buying the car, the begin to feel they are acheiving their desire for a luxurious lifestyle.
By doing this, Jaguar has successfully brought its product that was once considered only by the wealthy to the segment of the market or potential customers that aspires to be wealthy.
Market Segmentation is the process of dividing target customers or markets into segments that share some basic characteristics for marketing purposes. Apart from the Psychographic Segmentation, others include Geographic, Demographic and Behavioural. Behavourial is different form Psychographic in the sense that behavourial looks at the attitude of the segment to the brand and how they will like to use the product while Psychographic looks at their aspirations, lifestyles as a whole.