Customer Segmentation: tasks, benefits, challenges, and software

Table of Contents
1 – What is customer segmentation?
2 – Why it’s worth doing customer segmentation?
3 – The challenges of doing customer segmentation
4 – Simplifying the customer segmentation process
Why should your brand work customer segmentation? First of all, take a pick from History that tells you how to do this in our daily life. Sometimes, segmentation is so deep in the environment that customers don’t even notice how it affects their shopping behavior. However, when not do it provides an awful service!
To illustrate, enter in a city market is quickly immerse ourselves in a mix of cross-sensations. There are fresh aromas from the vegetables and multiple colors to absorb. Then, the voices of sellers and buyers together create a healthy, genuine buzz. Is this the environment that people expect to encounter while shopping. So, it would be absurd to go to the market and have vegetables and fruits not organized adequately into categories and products. Do you imagine all products mixed? What a terrible service it would be?
For centuries, any salesman has known that he must organize his offer. And aren’t you a salesman of your own business? In like manner, the better you do customer segmentation, the more visits, return, and engagement you’ll have.
What is customer segmentation?
Customer segmentation it’s a step forward product segmentation. It is the process of dividing customers into groups. And it’s a method that considers the customers’ data to separate individuals based on their common characteristics. Thus, each group of customers’ similarity allows marketing people to target better. As a result, they maximize their business value.
1. Decide which data collect for segmentation (see some examples below)
2. Gather data from different sources
3. Find a CRM solution to integrate all customer data (only then a brand can do a meaningful segmentation)


Often one or more categories are used in segmentation; depends on the business and the company – remind yourself that each business has a unique database! Hence, this means that no database is equal to another, nor have the same data fields. In other words, the company’s engagement strategy reflects in its marketing database. Accordingly, the brand’s work is to find out and gather the ones that best fit its communication goals.
In general terms, the market knows that segmenting customers it’s better than don’t do it. Although, sometimes, it can be challenging to show the decision takers the performance value of it. So, we hope that the following statistics (Omnisend) can bridge the gap.
In a nutshell, the key points to remember are that customers prefer better-targeted campaigns. Moreover, this is an increasing marketing tendency. Then, the performance difference between non-segmentation and segmentation campaigns is huge. Meanwhile, by not apply it (or do it incorrectly), your company will be overstepped by organizations that work well customers’ segmentation.



Therefore, targeting specific groups of customers benefit a brand, in such a way that there are:
▸Effective allocation of marketing resources (avoidance of money wastes)
▸Better marketing results (reduction of unsubscribes, bounces, and maximization of opening-rates, CTR, etc.)
▸Increase in sales through cross-selling and up-selling opportunities
▸Targeted and personalized messages designed according to the customer needs
▸Opportunities to test pricing options
▸Boost in customer loyalty and retention rate
▸Improvement of the customer service
▸Refinement of the customer experience with more tailored shopping experiences
We reach the 21st century with a colossal sophistication of the sales-side segmentation. As in the segmentation of products and services, as well as the technologies to support these sales. But what about the evolution of customer data treatment? To clarify, clean the data is the first step to make it ready to use on customer segmentation. Besides, even if the first step checks, then how do marketers access these tools intuitively and without much learning effort?
Indeed, many companies have complex segmentation systems. Commonly, they are designed and developed by consulting and IT people but not by marketers. So, there are often such sophisticated segmentations that, in practice, have little or no use at all to marketing communication. Regrettably nor in many other aspects of the customer relationship.
So, on the one hand, tools can be challenging to use. On the other hand, there are few people to study these micro-groups of customers. And without them, segmentation as no meaning, since generating personalized content for each of the segments is equally important as having them available.
Indeed, many companies have complex segmentation systems. Commonly, they are designed and developed by consulting and IT people but not by marketers. So, there are often such sophisticated segmentations that, in practice, have little or no use at all to marketing communication. Regrettably nor in many other aspects of the customer relationship.
Therefore, a solution as the GETbizz platform arises to, among other things, simplify the customer segmentation process. Thus, GETbizz provides a fully integrated view of the customer, where their data is actively used in the campaigns.
As a result, segmentation has no secrets in GETbizz. Case by case, strategy by strategy, the segmentation follows an implementation plan so that your brand can easily use it. Further, whether in B2C or B2B activities, by type of communication interactivity, by socio-demographic data, by interests, or whatever your imagination dictates, as long as the data exists, GETbizz put it available for segmentation.
Most importantly, with a 360-degree customer view logic, the platform crosses multiple variables without nothing ever getting lost.
After all, segmenting customers can be much simpler than you think. So, will you want to be more relevant to your customers? Then, think about it: if your customers have already tried your brand’s product, to sell them again, you just need to reinforce and improve that experience! However, this is unachievable if you cannot even segment a campaign by customers who have had a good purchase experience from those who do not.
To sum up, don’t be afraid of losing the audience by segmenting marketing campaigns; since with a narrow and targeted campaign proper to the customers’ interests, you’ll have a better return! Hence, sales will arise, and engagement levels maximize!
Table of Contents
1 – What is customer segmentation?
2 – Why it’s worth doing customer segmentation?
3 – The challenges of doing customer segmentation
4 – Simplifying the customer segmentation process

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By Ana Beirão
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