Explain market segmentation.

Explanation should incorporate the concepts of target market, mass market, and niche market and illustrate the roles played by each in travel and tourism.

Explanation should also include the various types of segmentation that exist in the industry and the methods used by marketing professionals to identify and analyze them.

Process/Skill Questions:

• What is the purpose of market segmentation?
• Which segmentation components are most important to businesses in travel and tourism?
• How critical is market segmentation to business success in travel and tourism?
• What are the legal implications of market segmentation? How do marketers protect themselves?