The expression “market segmentation” was first coined by Wendell R. Smith in his 1956 publication Product Differentiation and Market Segmentation as Alternative Marketing Strategies.

Who is the father of segmentation?

The father of market segmentation is widely considered to be Wendell Smith (1956) who proposed market segmentation as an alternative to product differentiation.

What is the theory behind market segment?

Market segmentation theory is also known as the segmented markets theory. It is based on the belief that the market for each segment of bond maturities consists mainly of investors who have a preference for investing in securities with specific durations: short, intermediate, or long-term.