Hi fellows,

Segmentation plays a crucial role in marketing your product or service no matter what it is which might be the software that you want to sell or a product we use daily. People differ a lot in every aspect which makes the world a better place , assume i developed a tool and determined the price as 10$, make sure there are guys out there ready to pay 20$ , but also some people finding 10$ too costly who can pay maximumly 5$ . Here the segmentation comes to play , you should integrate at least 3 different feature oriented product having different prices. Then you can reach more people which will increase your revenue.

There are other ways too , if you want to concentrate on a particular slice of the  market then you need to analyze your slice in the market , and compare the pay offs , to clarify , my point is that you can qualify such that my product is mostly fitting for the poor people then you will completely use your effort to reach them,now at least your target is determined.

Let me give you an example from my own experience that i have used and benefited tremendously . You cannot make a great presentation without understanding your audience , last year when i was senior at university  i just made a presentation under Computer Club organization, before i started , i have asked the audience what degree they were , and realized that   60% >= 3rd and  remaining percent consisted of the  fresh students. Then i divided my time accordingly  without either going technically too deep which would bore the fresh or speaking about the well known basics which would play the same role for the seniors.

My recommendation , no matter what you do , you just cannot move in a holistic manner , you need to divide groups as well as you can , and try to get to them in this particular approach , that is what a real entrepreneur should do.

As my close friends already knows, even though i got B.S degree from Computer Engineering and ranked 4th in the department with the 2nd best graduation project award , i sometimes talk to myself and say ” I should have been born as a Economist “.I read books about marketing , especially the ones that Philip kotler has written ,  i recommend you to do the same as well , do not miss Philip Kotler.

Best Regards