Market Segmentation

When we talk about market segmentation, what we are really doing is a thought exercise based on what we have identified as our target market.  Say we are a retired teacher with a small acreage property used to grow high CBD strain hemp crops.   Our transition to hemp growing was intended to help teachers and childcare workers use CBD to manage the stresses of that work in a non-inhibitive way.  While teachers and childcare workers is a useful slice of the overall cannabis market, dividing this up further helps to target the segments of the market that we want to start with first.  Read above as an example.

We can identify similar segmentation categories like the one above if we also want “usage” to be our key criteria.  That makes sense for plant touching businesses and retail stores because their business models depend on throughput and sales.  People need to use their product in order for them to be profitable.  We can change these criteria if we want to focus on customers who perform different actions, for instance using the example above, teachers who use CDB with a criteria “while working”.  The specificity of this market segment allows us to make some choices about our product like non-psychoactivity, and potentially discreet packaging designed to look like mints or gum that teachers would use – after all, the teacher may not be comfortable letting anyone know they have anxiety. 

Source: https://www.mediajel.com/blogs/medical-marijuana-marketing/

https://www.oregon.gov/oha/ph/diseasesconditions/chronicdisease/medicalmarijuanaprogram/pages/physicians.aspx