The mail survey of a large national consumer sample pinpoints price as the top-rated influence on purchase. However, there's a fascinating twist. Statistical analysis of this large data pool reveals that women - the most frequent buyers of hair care products overall -- are far less price-sensitive than men.

Until now, you've always used benefit segmentation in marketing the conditioner, targeting all consumers who seek frizz-taming properties. You could continue this approach, cutting price substantially so as to better satisfy everyone.

But the survey results raise another possibility -- you might avoid the need for a price cut by adopting gender-based segmentation. While targeting women over men would require modifications in promotion and packaging, these changes would have only a short-term impact on profitability. Of course, there are risks associated with any strategic shift; for example, you don't know if increased purchases by women will make up for lost purchases by men.

Which segmentation strategy should you choose?

Benefit segmentation

Gender segmentation