customer segmentation: using behaviors to drive data-driven marketing
DESCRIPTION
Customer segmentation must focus on behaviors, particularly purchase behaviors, to be actionable.TRANSCRIPT
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Customer Segmentation: Using Behaviors to Drive Data-Driven
Marketing
Written By: Mark Price,Managing Partner of M Squared
Group
Contact Us: 952.746.3230
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About M Squared Group
Contact Us: 952.746.3230
[email protected]://www.msquaredgroup.com/
M Squared Group is a data-driven marketing consulting firm. We help our clients build measurable, long-term customer relationships and revenue streams using data-driven insights and targeted customer communications and services. Our approach is fast, practical and financially-driven.
3Contact Us: 952.746.3230
When it comes to customer segmentation, the saying "actions speak louder than words” has never been more true.
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In trying to understand customers, both words
and actions have a role.
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When it comes to
driving revenue,
it is all about actions.
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Segmenting by attitudes rather than actions creates a problem when marketers try to target a specific group...
The question they can’t answer is:
Who are the specific customers who have those attitudes?
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The best database marketers follow these three specific segmentation rules: 1. Change needs
to be measured to be effective.
2. People are as they act, not as they say.
3. The more you know, the more you know.
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If the goal is to change behaviors,
Group customers with similar behaviors rather than attitudes together.
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1.Measure what you want to change.
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Customers who claim to have the same beliefs frequently differ in their purchases.
Behavior is the one factor that cannot be debated.
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2. People are as they act, not as they say.
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Improve your targeting by incorporating their website behavior, email open/click behavior and so on.
Don't stop with customer purchase behavior with your company,
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3. The more you know, the more you know.
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It does not matter if the customer
is:Hispanic or WhiteYoung or old Rural or urban
Customers who purchase and behave the same are effectively
the same from a marketing standpoint.
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Leveraging behavior-based segmentation builds:
Stronger
Long-lasting
Profitable relationships
This is the end goal of data-driven marketing
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Please check out my post "Customer Segmentation: So Much Analysis, So Few Results“ if you want to learn more about making customer segmentation effective.
Website: http://www.msquaredgroup.com/Blog: http://blog.msquaredgroup.com/blogTwitter: MarkPriceMSGLinkedIn: www.linkedin.com/in/markpricemsg/
ABOUT US
Contact Us: 952.746.3230