Volume V Special Issue II May 2025

Name of Author : Raghu B M, Dr. G. P. Dinesh

Title of the paper : The Strategic Importance of Psychographic Segmentation A Review of Literature

Abstract: Psychographic segmentation has emerged as a meticulous tool for marketers to understand the underlying reasons behind consumers specific behaviours. Unlike conventional demographic segmentation, psychographics delves into the why of consumer actions specifically focusing on their personality traits, lifestyles, attitudes, beliefs, and values. In other words, demographics of consumers guide the marketers by providing a detailed insights such as what they buy. How they buy, when they buy, whom they buy. But the psychographics injects the knowledge of underlying psychological motivations behind consumers buying and thereby marketers get the answers for why consumers buybehave in a specific manner. The present study aims to highlight the strategic importance of psychographic segmentation by synthesizing key findings from existing literature sourced from various academic databases including Scopus, Emerald Insights, Taylor Francis, Semantic Scholar, JSTOR, Google Scholar, and other relevant sources. The literature consists of domestic and international studies on psychographic segmentation covering a wide range of demographic dividend. It also emphasized on the role of psychographic constructs such as personality, lifestyle, and product benefits in shaping consumer preferences and purchase decisions. The study reviewed various psychographic models utilized in the existing literature, including VALS Values and Lifestyles, LOV List of Values, and AIO Activities, Interests, Opinions, their applications in marketing strategies, and found key psychographic constructs impacted on consumer behaviour. The findings underscore the significance of psychographic segmentation in designing personalized marketing campaigns, fostering brand loyalty, and adapting to dynamic consumer preferences. By integrating psychographic insights, marketers can better align their offerings with consumer motivations, ultimately achieving a competitive edge in the global marketplace.

Keywords : Psychographic Market segmentation, VALS, LOV, AIO, Personality, Lifestyles, Consumer Behaviour, Consumer motivations.

DOI :

Page Number : 39-54