Market Segmentation

Market segmentation is a reality for virtually every business. Developing different products and services for the same economic sector can be an excellent strategy, but it requires careful planning of commercial and marketing activities.

Distribution of beef cattle and dairy cows

The example presented in this article focuses on companies operating in the animal nutrition and livestock supply industry, whose products and services are segmented to serve both the beef cattle and dairy cattle markets.

Figure 1 shows that the geographic distribution of beef cattle and dairy cows does not coincide. In other words, the sales potential for these two market segments is concentrated in different regions.

Representação da quantidade de cabeças de boi e vaca leiteira

Figure 1 – Distribution of beef cattle and dairy cows

This spatial variation has important implications for business planning. Companies operating in this sector must consider at least four distinct market realities:

  • Regions dominated by beef cattle.
  • Regions dominated by dairy cattle.
  • Regions where beef cattle and dairy cattle coexist.
  • Regions with little or no presence of either beef cattle or dairy cattle.

Each of these market segments may require different:

  • Products and services
  • Sales strategies
  • Distribution networks
  • Marketing campaigns
  • Technical support programs

The importance of Geographic Analysis

Understanding the spatial distribution of livestock production enables companies to:

  • Identify high-potential markets.
  • Allocate sales resources more efficiently.
  • Develop region-specific marketing strategies.
  • Improve territory management.
  • Support strategic decision-making.
  • Increase the effectiveness of commercial operations.

The data presented in this article are displayed at the national scale. However, more detailed analyses can be conducted using mesoregions, microregions, municipalities, or other geographic units to gain a deeper understanding of the structure and dynamics of the animal nutrition market.

GIS and Market segmentation

Geographic Information Systems (GIS) provide powerful tools for visualizing and analyzing market segments geographically. By combining livestock data with sales, logistics, and demographic information, companies can better understand their markets and identify new business opportunities.

The maps presented in this article were generated using IBGE data and Gismaps Viewer.

For additional information about Gismaps Viewer, visit:

Gismaps Viewer Download Page

Effective market segmentation begins with understanding where customers are located. Geographic analysis transforms market data into actionable business intelligence.