Any segmentation is a division of customer types that have different needs. For example Microsoft does differentiate between home and business customers, between small / medium enterprises and large one.One direct implication of a segmentation is the tailoring of the offering to match the needs and payment readiness of the segment. Also it has a clear implication of the pricing model and level.
For example, if a car manufacturer is having a problem with a part in the production line, the willingness to pay anything to get the spare part, varies a lot compared to buying that same part to be used in an upcoming maintenance cycle. Customers are willing to pay more, as long it solves the problem.
One important role marketing plays is to challenge the pricing model, if it does not differentiate the different segments and circumstances. Consulting4Growth can help.
