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Glossary Term
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Market Segmentation

Definition

Market segmentation is the process of dividing a broad target market into smaller, more defined subsets of consumers or customers who have similar needs, characteristics, or behaviors. In the MedTech industry, segmentation allows companies to tailor their products, marketing strategies, and services to specific groups, improving effectiveness and efficiency.

Relevance to the MedTech Industry

Market segmentation enables medical device companies to better understand and address the unique needs of different customer groups, such as healthcare providers, patients, and payers. This approach ensures that resources are allocated efficiently, messages resonate with target audiences, and product adoption is maximized.

Additional Information & Related Terms

Related Terms

  • Target Market: The specific group of customers chosen after segmentation for focused marketing and sales efforts.

  • Customer Persona: A detailed profile of a representative customer within a segment.

  • Value Proposition: Tailored benefits communicated to different segments based on their unique needs.

  • Go-To-Market Strategy: Plans for introducing products to segmented markets.

  • Differentiation: Creating distinct offerings to appeal to specific market segments.

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