Customer Segmentation Research
Customer Segmentation Services to Drive Business Growth
In an ideal world, businesses would be able to market to every customer directly, tailoring their offer completely to each person’s needs and preferences.
Since the limits of marketing budgets mean that’s not possible, the next best thing is to use customer segmentation techniques to divide people up into groups with key commonalities. This enables you to better tailor your marketing efforts and maximise your ROI.
While standard segmentation categorises people by demographic data – like where they live, how old they are, their gender, their occupation, etc – we focus on understanding their mindsets and behaviour. Segmenting customers by demographics alone will lead to wastage in your marketing campaigns and restrict your results.
Thanks to our purpose-built customer segmentation tool HuPa, we can group people by similarities in what motivates them to make a purchase, what might stop them buying from you, and what kind of messages and communication style they’ll respond to best. Then, through a mix of illustrations and pen portraits all drawn from hard data, we give you a detailed picture of their attitudes, perceptions, and influences.
HuPa is significantly more rigorous than mainstream segmentation tools too, which only have an accuracy rate of around 70%. HuPa gives us data that’s 98% accurate. We’ve also used it to do this kind of customer segmentation research in more than 30 different countries for a wide mix of industries, so we know it works across cultures and sectors.
Why do you need to segment your customers?
No one wants to waste valuable marketing resources, which is why customer segmentation is a key investment for any business. It’s the difference between marketing your products or services to anyone, versus targeting those who will be listening and interested in what you have to offer. It’s also the difference between losing and keeping hold of loyal customers, since you can personalise your offering to meet their wants and needs.
As an agency that specialises in customer segmentation techniques, Clusters can help you to advertise more effectively, identify opportunities for growth and improve your service offering in line with what your customers want. We’ll show you exactly how your audience should be broken down in terms of their habits, interests, beliefs, behaviours and more. We understand that no two industries are alike, so we tailor our customer segmentation research to the products and services that your business provides.
Customer Segmentation in Action
Want to see for yourself how customer segmentation works in action? We’ve put together this sample survey for you to try, to demonstrate how segmentation can be used for marketing and business planning. You just need to answer 6 short questions to find out which financial profile you belong to.
Customer Segmentation FAQs
What is customer segmentation?
Customer segmentation is a way of refining your customer base into smaller groups, based on a set of shared characteristics. These shared characteristics may include a range of attitudes, perceptions, and influences. You can use this information to create highly targeted marketing campaigns, sales strategies, and sell to specific audiences more effectively.
How can customer segmentation help my business?
There are many benefits to breaking down your customer base into similar groups for targeted marketing and sales strategies. Especially when this is outsourced to a specialist segmentation agency such as Clusters. Ultimately, customer segmentation results in more effective marketing and business growth. The insights that you gain will help you to answer key questions such as:
- Will a particular group respond positively to an offer?
- Which groups will deliver the most profit and growth?
- Where can we find them?
- What’s the best way to get their attention?
- What will it take to convince them to buy in?
Which types of businesses need customer segmentation research?
All businesses can benefit from customer segmentation research, whether they are large or small, established or new, B2C (business-to-consumer) or B2B (business-to-business). However, the way in which this research is conducted might differ depending on their industry and their target market. For example, B2C businesses might prefer to segment their audiences based on factors such as lifestyle, beliefs, attitudes and values. Whereas B2B marketers may choose to focus on industry, location, payment terms or other factors.
We can help you to determine which factors to use to segment your audience, based on the nuances of your business. Get in touch to learn more.
How reliable are customer segmentation tools?
There are many different customer segmentation tools available, some of these you may have come across before from ‘mainstream’ providers. The trouble with these is that they typically only have an accuracy rate of around 70%. Getting accurate data is essential to maximising the returns on your marketing investments, which is why we developed our own customer segmentation software which is much more reliable.
HuPa, our deep-learning modelling tool, is specially adapted for segmentation-based market analysis and geo-modelling. It’s particularly known for its strong clustering capabilities (which is where we got our name from) and it’s almost-complete lack of human bias. With a 98% accuracy rate, we believe it’s still the most consistent, reliable customer segmentation tool in our industry.
Why choose Clusters to carry out your customer segmentation research?
With many different agencies and providers of customer segmentation software to choose from, why should you choose us to carry out your segmentation research?
We’re a market research agency who specialise in customer segmentation. Our team is made up of experienced, perceptive data scientists with exclusive access to HuPa, the industry’s most accurate customer segmentation tool. We identified a problem with mainstream tools which did not deliver reliable data, so we developed a completely new approach with our custom-built software. Our experience, knowledge and tools are unrivalled when it comes to customer segmentation.
Our research provides you with the most accurate (98%) results, so you can minimise wastage in your marketing budget and drive business growth. Get in touch today to discuss your customer segmentation project.
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WORK WE’VE DONE
Customer segmentation for FWD Insurance
FWD set out to change the way people feel about insurance. The Asia insurance market is crowded so precise targeting is critical: the right people with the right brand proposition, products, services and communications.
Think our customer segmentation work sounds like just what you need?
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