Customer segmentation is a powerful tool for planning sales and marketing strategies that target particular groups of customers or prospects.
The goal of segmentation is to identify groups with similar characteristics to better:
- Understand customer behavior
- Respond with relevant, timely strategies
- Satisfy customer preferences
Customer segmentation is the first step in formulating effective strategies to address defined business goals and issues.
Angoss routinely applies a 3-step approach to customer segmentation:
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Customer segmentation – Analyze sales and marketing history with data mining and business intelligence software to define and describe your customer segments according to their buying and transactional behavior.
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Strategy definition – Apply predictive analytics to overlay strategies in order to optimize customer segments—such as cross-sell, upsell, retention and education. Angoss predictive analytics solutions calculate the predicted Return on Investment (ROI) for each strategy, enabling you to compare returns among strategies before deciding on a particular solution to execute.
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List building and scoring – Assemble optimized, actionable sales and marketing activity lists.