Analysis on Market Segmentation in Advertising Companies

Abstract

One of the effects of information technology in the media companies that offer TV content is the emergence and prevalence of video-streaming. Unlike the traditional TV content delivery that is linear, video-on-demand allows the customer to have control over the type of content accessed, when, and how to access such content. With the Internet of Things, a customer can also access such content via mobile devices which enhances flexibility and convenience. Modern Times Group (MTG) offers video-on-demand for the free package and pay packages. The free package features advertisements. However, a review of the advertisements featured on MTG shows that the MTG products and the adverts featured on the channels misalign with customer preferences. Through employing segmentation that premises on business analytics, MTG can redesign its market segmentation to make its marketing effective and eventually develop a competitive advantage from it.