Many B2B companies market and sell their products in the same way, using the same message, to a wide range of buyers with different needs. Or, if they divide their buyers into groups, they do so in a way that does not enable the product, marketing, and sales approach to be tailored to specific buyers. Proper segmentation can improve alignment between product, marketing, and sales; focus resources; and identify growth opportunities. In this report, we review the goals of market segmentation and the principles that should be applied to define market segments.