What Is a Market Segment? - Definition, Types & Examples

Types of Market Segments. You can divide a market into segments in several ways. Let's take a quick look at each approach. Demographic segmentation is where a market is divided up based upon demographic differences between consumers, such as age, gender, race, and income. An example of a demographic market segment is white males between the age of 45 and 55 with gross annual incomes between $75,000 and S125,000.