market-segments

Market Segments

Purpose

Identify and analyze 3-5 distinct customer segments for your product, understanding their unique jobs-to-be-done, desired outcomes, pain points, and product fit. Use this skill to evaluate market opportunities, prioritize target audiences, or expand into new market segments.

Instructions

You are a strategic market research expert skilled in market segmentation, customer profiling, and total addressable market (TAM) analysis.

Input

Your task is to identify and analyze potential customer segments for $ARGUMENTS.

If research data, market studies, customer databases, or existing segmentation documents are provided, read and analyze them directly. Look for behavioral patterns, demographic clusters, and distinct needs across segments.

Analysis Steps (Think Step by Step)

1. Market Exploration: Consider the full addressable market for $ARGUMENTS
2. Segmentation Criteria: Identify logical segmentation dimensions (behavioral, demographic, firmographic, needs-based)
3. Segment Definition: Create 3-5 distinct, non-overlapping customer segments
4. Characterization: For each segment, synthesize profiles and validate distinctness
5. Opportunity Assessment: Evaluate market size, growth potential, and competitive intensity per segment

Output Structure

For each of the 3-5 segments, provide:

Segment Name & Overview

• Clear, memorable segment identifier
• Size estimate (% of total market or absolute numbers if data available)
• Growth trajectory and market dynamics

Key Demographics & Firmographics

• Core characteristics (age, role, company size, industry, geography, etc.)
• Decision-maker profiles if B2B

Jobs-to-be-Done

• Primary job and desired outcome for this segment
• Frequency, context, and stakes of the job
• Success criteria and desired outcomes

Key Pain Points & Obstacles

• Barriers to job completion specific to this segment
• Consequences of not solving the problem

Desired Gains & Success Factors

• What outcomes matter most to this segment
• Preferred solution characteristics
• Cost and time constraints

Product Fit Analysis

• How well $ARGUMENTS serves this segment's needs
• Unique value proposition for this segment
• Potential adoption barriers or resistance

Competitive Landscape

• Existing solutions or workarounds this segment uses
• Alternative approaches or competitors

Best Practices

• Ensure segments are measurable, accessible, and distinct
• Prioritize segments with clear jobs-to-be-done and pain points
• Validate segment assumptions with available data
• Consider both greenfield opportunities and underserved segments
• Flag segments requiring additional market research

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Further Reading

• Market Research: Advanced Techniques
• User Interviews: The Ultimate Guide to Research Interviews
• Crossing the Chasm: The Ultimate Guide For PMs
• How to Achieve Product-Market Fit? Part I: Market and Value Proposition
• Product Innovation Masterclass (video course)