Analytics portfolio

Customer and market segmentation

Understand how each group of customers drives your business. Implement targeted approaches for each segment.

Gather available customer information

  • Demographics: age group, gender, education, socio-economic status, area of residence
  • Behavioral: Purchase history, preferences, frequency, recency, ads viewed, search history
  • Channel: Stationary retail, mobile
  • Payment types, etc.

Build clusters

Apply clustering methods to identify segments displaying similar preferences and behavior patterns. It is often useful to also define a reference type for each segment.

Describe customer segments

Describe each segment and reference type:

  • Product preferences
  • Affinity for innovations or special services
  • Price sensitivity
  • Affinity for different marketing activities
  • Preferred mode of communication, etc.

Targeted marketing plan

Concrete actions based on an understanding which information is available – and can be acted upon – during which type of customer interactions.

  • Targeted products
  • Targeted pricing and promotional activity
  • Preferred media types
  • Communication guidelines
  • Adequate service levels

Boris Vaillant - Quantitative Consulting 17

QC 17