Ann Højbjerg Clarke
University of Southern Denmark
Per Vagn Freytag
University of Southern Denmark
Abstract
Since Smith introduced the concept of segmentation in 1956, many articles have been published on this issue, discussing and introducing various definitions of and models for segmentation. However, studies are far and few between on how segmentation is actually practiced. The main purpose of the article is to show how Danish industrial firms segment their markets. It is pointed out which variables are applied by Danish firms to create and select focus segments, which criteria are used to target activities on markets, which segmentation processes are applied, and which criteria are important to monitor that will lead to renewed segmentation. The article is based on the results of telephone interviews with 183 Danish industrial firms. The purpose of the article is to 1) close the gap in our knowledge on how firms actually segment their markets, 2) discuss the findings in relation to existing knowledge on segmentation practice, and, in conclusion, 3) identify the need for further research in segmentation theory.
