Your Revenue Driver
These are the groups of people or organizations that your company aims to reach and serve:
A segment may be determined by:
Quite often a company may try to simplify (a good thing) its value proposition by broadening or elevating it so that it can have one message with broad appeal to a wide range of segments. Sometimes this confuses (not a good thing) every segment.
From my perspective - channels represent a way to narrow the value proposition and avoid the confusion. This does introduce the challenge of managing channels and the inevitable channel conflict that is likely to arise.
A risk is that these types of markets (mass, niche, segmented and diversified) are so easy to define that we may think we understand them. Each is complex to satisfy and then we complicate it even further by embracing multi-sided markets. It is worth jumping to page 76 to read more about multi-sided - and if you remain intrigued - keep reading about "free" and "open" - you can also be successful by waiting until later to read these pages.
It is worth taking a long while to think about and accurately determine who your customers really are - not who you think they are - and not who pretends to be your customer.