Market segmentation denotes dividing the entire market into smaller fragments.This is practiced in order to address each fragment more resourcefully with commodities andservices that complement the fragment’s needs. It is imperative to mention that the market may be segmented in accordance with different variables, either in isolation or in combination (Kotler, 2008, p. 61). While market segmentation may be employed as a means to cultivate a sustainable competitive advantage, it denotes in a strategic perspective the categorization of consumer clusters that respond in a different manner from other clusters to competitive offerings. An effective segmentation policy holds the capacity to realize a leading position in the market which rivals may find difficult to deal with. It may, however, be complex to identify segments in view of the diverse ways that are utilized in categorizing the market. The analysis typically takes into consideration a broad range of diverse variables that are assessed to classify segments for which different strategies should be employed. The segmentation variables exemplify market segments in terms of common attributes, and those that are linked to the commodity (Aaker, 2008, p. 101).
The core segmentation variables include geographic considerations, demographic, behavioural, and psychographic. Demographic aspects are the most prevalent basis for market segmentation. In demographic segmentation, the market may be segregated into groups on the basis of variables such as gender, nationality, income, occupation, religion, education, and age. The rationale as to why this is the most frequent form of segmentation is that, consumer needs are frequently linked to demographic variables, and also because these variables are easily determined. To segregate the market in relation to gender is widespread in the fashion industry owing to the gender construal of fashion. However, persons in the same demographic cluster may hold significantly different psychographic preferences. According to Solomon and Rabolt (2009, p. 41), the psychographic segmentation segregates the market into clusters on the basis of social class, personality, and lifestyle characteristics. In addition, the behavioural segmentation segregates the consumers on the basis of attitudes, knowledge, use of the commodity, as well as response to the commodity. A number of marketers consequently hold the opinion that this is the most appropriate launch pad for creating market segments. On the other hand, it is not recommendable to constrain the segmentation to a small number of variables. The standard procedure is to employ multiple segmentation bases so as to categorize smaller and more distinct target groups (Kotler, 2008, p. 70). It is in this context that the young women-fashion market is segmented into several diverse approaches. This market does not exist in a distinct manner, and therefore dividing this market requires being done in accordance with the customers’ needs (Easey, 2009, p. 123).