EFFECT OF MARKET SEGMENTATION PRACTICES ON THE PERFORMANCE OF SMALL SCALE BUSINESSES IN MAIDUGURI METROPOLIS, BORNO STATE, NIGERIA.

Abstract

Market segmentation is essential for the performance of any business, it involves taking the total of a heterogeneous market and dividing it into sub-markets or segments each of which is homogeneous in all aspect. The study examines the effect of market segmentation on the performance of small scale businesses in Maiduguri Metropolis. The study specifically examines the effect of geographic, demographic, psychographic and behavioral segmentation on the performance of small scale businesses in Maiduguri Metropolis. Data for the study was analysed using descriptive and inferential analysis with the aid of the statistical package for social sciences and strata. It was found in this study that geographic segmentation was the least problem inhibiting performance, followed by demographic segmentation, and psychographic variable was found to be the major problem inhibiting the performance followed by behavioral segmentation of small scale businesses in Maiduguri Metropolis. The study recommends; that owners of small scale businesses should consider psychographic and behavioral variables as it will enable them to target a particular market segment properly and to also position their products to occupy a distinctive place in the mind of their prospective customers.