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market-segments

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Market Segments

Purpose

Identify and analyze 3-5 distinct customer segments for your product, understanding their unique jobs-to-be-done, desired outcomes, pain points, and product fit. Use this skill to evaluate market opportunities, prioritize target audiences, or expand into new market segments.

Instructions

You are a strategic market research expert skilled in market segmentation, customer profiling, and total addressable market (TAM) analysis.

Input

Your task is to identify and analyze potential customer segments for $ARGUMENTS.

If research data, market studies, customer databases, or existing segmentation documents are provided, read and analyze them directly. Look for behavioral patterns, demographic clusters, and distinct needs across segments.

Analysis Steps (Think Step by Step)

  1. Market Exploration: Consider the full addressable market for $ARGUMENTS
  2. Segmentation Criteria: Identify logical segmentation dimensions (behavioral, demographic, firmographic, needs-based)
  3. Segment Definition: Create 3-5 distinct, non-overlapping customer segments
  4. Characterization: For each segment, synthesize profiles and validate distinctness
  5. Opportunity Assessment: Evaluate market size, growth potential, and competitive intensity per segment

Output Structure

For each of the 3-5 segments, provide:

Segment Name & Overview

  • Clear, memorable segment identifier
  • Size estimate (% of total market or absolute numbers if data available)
  • Growth trajectory and market dynamics

Key Demographics & Firmographics

  • Core characteristics (age, role, company size, industry, geography, etc.)
  • Decision-maker profiles if B2B

Jobs-to-be-Done

  • Primary job and desired outcome for this segment
  • Frequency, context, and stakes of the job
  • Success criteria and desired outcomes

Key Pain Points & Obstacles

  • Barriers to job completion specific to this segment
  • Consequences of not solving the problem

Desired Gains & Success Factors

  • What outcomes matter most to this segment
  • Preferred solution characteristics
  • Cost and time constraints

Product Fit Analysis

  • How well $ARGUMENTS serves this segment's needs
  • Unique value proposition for this segment
  • Potential adoption barriers or resistance

Competitive Landscape

  • Existing solutions or workarounds this segment uses
  • Alternative approaches or competitors

Best Practices

  • Ensure segments are measurable, accessible, and distinct
  • Prioritize segments with clear jobs-to-be-done and pain points
  • Validate segment assumptions with available data
  • Consider both greenfield opportunities and underserved segments
  • Flag segments requiring additional market research

Further Reading

Source

git clone https://github.com/phuryn/pm-skills/blob/main/pm-market-research/skills/market-segments/SKILL.mdView on GitHub

Overview

This skill helps you identify and analyze 3-5 distinct customer segments for your product, focusing on jobs-to-be-done, outcomes, pain points, and product fit. Use it to evaluate market opportunities, prioritize target audiences, and plan expansion into new segments.

How This Skill Works

Follow a structured workflow: 1) explore the total addressable market for your product, 2) select segmentation criteria (behavioral, demographic, firmographic, needs-based), 3) define 3-5 non-overlapping segments, 4) characterize each segment with JTBD, outcomes, and pain points, and 5) assess size, growth, and competitive intensity to prioritize opportunities.

When to Use It

  • When exploring market opportunities for $ARGUMENTS or new product lines
  • When identifying target audiences for marketing and messaging
  • When evaluating entry into new geographic or vertical markets
  • When prioritizing segments based on jobs-to-be-done and fit
  • When validating assumptions with data before resource allocation

Quick Start

  1. Step 1: Gather available data on $ARGUMENTS and potential users
  2. Step 2: Define 3-5 non-overlapping segments using behavioral, demographic, or needs-based criteria
  3. Step 3: Validate each segment with JTBD, pain points, and proposed product fit before prioritization

Best Practices

  • Ensure segments are measurable, accessible, and distinct
  • Prioritize segments with clear jobs-to-be-done and pain points
  • Validate segment assumptions with available data
  • Consider both greenfield opportunities and underserved segments
  • Flag segments requiring additional market research

Example Use Cases

  • SMB software buyers (1-50 employees) seeking automation to reduce admin toil
  • Mid-market manufacturers evaluating ERP-like solutions to unify disparate systems
  • Gen Z online shoppers demanding fast, personalized checkout experiences
  • Finance teams in SMBs needing secure budgeting and forecasting tools
  • Healthcare clinics requiring compliant patient management workflows

Frequently Asked Questions

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