Customer Segmentation
Customer Segmentation is the practice of dividing a customer base into groups of individuals that are similar in specific ways relevant to marketing, such as age, gender, interests, and spending habits.
Benefits
Customer segmentation helps businesses understand their customers better. This leads to more personalized marketing and higher customer satisfaction.
Frequently Asked Questions
What does segmentation of the customer base mean?
Segmentation means splitting customers into groups based on common traits. This helps businesses tailor their marketing efforts.
What are the 5 customer segments?
The five main types are demographic, geographic, psychographic, behavioral, and needs-based segments. They help companies understand different customer needs.
Is customer segmentation important?
Yes, it`s crucial. It helps businesses target their marketing, meet customer needs better, and boost sales.
Key Takeaway
Customer segmentation is key for targeted marketing. It helps companies understand their customers` needs and preferences, leading to better business results.