Segmenting the Small Business Market

One of the challenges any corporation has when selling to small and midsize business is how to segment the market in a meaningful way.

The research firm IDC segments the small business market in the United States for IT-related products and services, like this:

There are other ways to slice and dice the small and midsize business (SMB) market. You can segment it by revenues, by revenues within industry categories, or even according to buying behaviors. 

Segmenting it according to the number of employees, as IDC has done in the chart above, doesn’t work for all purposes. But it’s a place to start.