Can You Explain The Differences Between Market Segmentation And Targeting?

Marketing Segmentation and Targeting both comes under the marketing plan. In the marketing segmentation a large population is involved which has different characteristics while in Targeting a small customer group is targeted. In marketing segmentation, you divide the complete population of an area (state, community, niche) in to different groups on the basis of behavioral, demographic and psychographic characteristics. On the other hand in Targeting, your aim is just to select few groups that you have differentiated in market segmentation.

Marketing Segmentation is the process that is followed by targeting and without segmentation you cannot target a specific customer segment. There are various groups which you identify in market segmentation process and you also evaluate them but you only provide the services to those segments which you have targeted in Targeting process. Market segmentation usually includes all types of segments either profitable or unprofitable but in targeting, only profitable segments are served.