Employee & service marketing & hrm (human resource management) needs market segmentation. Why? Because people differ as employees and as clients just as they do as consumers.

How Does HRM Influence Employee & Service Marketing?

Human resource managers (hrm) recognize differences in people through all management phases. Some people will fit in a particular organization better than other people. Some people will be more motivated by a certain organizational culture, while others will find that same culture inhibiting or demotivating.

Some people love playing office politics and thrive in environments where playing office politics well earns rewards like promotions and raises. Other people hate office politics, refuse to more than passively participate, keep their noses to the grindstone, and never get rewards for their productivity in highly political environments. Thus, they aren’t happy and usually take their productivity and accomplishments to a different organization.

How Does Market Segmentation Improve HRM Employee & Service Marketing?

Market segmentation can help human resource managers assure that only people who will thrive within an organization are hired. Market segmentation can also help to assure that employee’s and clients’ personal goals mesh well with the organization’s.

Thus, employee & service marketing & hrm requires doing the same type of target marketing that business marketers do for consumers.

Employee & Service Marketing & HRM Step 1: Recruiting

So the first step in blending employee & service marketing & hrm is to determine the type of person:

who will thrive in the organizational culture,

whose personal goals align with the organization’s goals, and

whose work habits will make a contribution without attracting negative attention from colleagues.

Market segmentation aids human resource managers to select demographic and psychographic characteristics that will most likely include best employee and client prospects, who will be successful and satisfied within and with the organization.

Employee & Service Marketing & HRM Step 2: Retention

The second step in blending employee & service marketing & hrm is to increase retention. Market segmentation can also help identify those in danger of leaving the organization and determine how to bring them back into the fold, if that is in the organization’s best interest.

Employee & Service Marketing & HRM Step 3: Marketing

The third step in blending employee & service marketing & hrm is to determine how to get happy employees and clients to spread word-of-mouth marketing about the organization. Market segmentation helps by determining what people most value, and assuring that they get their needs met in a way that makes them feel positive about the organization.

There is no better marketing than positive statements made to friends and acquaintances by happy employees and clients. Similarly, there is nothing more damaging to an organization than having unhappy employees and clients making detrimental statements about the organization to others.

Employee & Service Marketing & HRM: Conclusion

Market segmentation aids employee & service marketing & hrm through all three major steps: recruiting employees and clients, keeping them happy, and turning them into marketing agents.

But to do all these successfully requires understanding the relationship of demographic characteristics to personality and behavior characteristics. You can do just that with Human Resource Managers.

To read more specifically about service marketing, go to the post below:

What Is Service Marketing?

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Posted 7-21-08: Employee & Service Marketing & HRM Need Market Segmentation

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