What does Segmentation mean?
“The practice of breaking down a larger market into smaller identifiable group of users who share specific needs and who reference each other.”
This is part of an ongoing series of concept definitions from “The Entrepreneur’s Guide to Customer Development” by Brant Cooper & Patrick Vlaskovits. This book is an awesome extension of the work Steve Blank started in “Four Steps to the Epiphany.” You can get a copy of the book today at http://custdev.com. I highly recommend it.
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ABOUT BOB
As an Agile Coach with Rally Software I work with managers and executives at software companies that need to deliver valuable software predictably on tight time-lines. I help implement Agile and Lean methods so that they are able to deliver quality software quickly and reliably.
Connect with me: 
bob@bobcanhelp.com | 415-517-6943