One of the key strategies for achieving higher revenue is to focus your saleand marketing efforts indonesia mobile database on the right customers. To this end, customer segmentation is one of the standard practices of companies.
Segmentation helps brands divide their customer base into differ
ent categories and target them effectively. However, it has been observed that businesses often need help defining segments in terms of industri
es such as finance, healthcare, technology, and so on. To increase sales, businesses inbound marketing: the future of retail in chile need to adopt a more granular approach to market segmentation, known as micro-segmentation.
In this article, we will learn what microsegmentation is, its role in
the B2B industry, implementation strategies and benefits, along with a few examples.
What is microsegmentation?
Microsegmentation refers to the process of dividing customers or markets into smaller groups. These groups or segments share common characteristics and are typically created based on criteria suc usa data h as demographics, priorities, needs, and purchasing preferences.
Similar to macrosegmentation, microsegmentation begins with th
e traditionally defined groups that companies create for marketing purposes. However, microsegmentation goes a step further by identifying opportunities to retain potential and existing
customers within those segments. This helps businesses learn more about the products or services that customers prefer, their purchase history, and how ofte
n they buy from the brand, improving customer service and return on investment. Understanding target customers in this way can also help companies expand into physical locations where their custom
ers are likely to live. For example, if a brand finds through
microsegmentation that its products are most popular
among young, highly educated women, decision make
rs can prioritize expanding into areas with high populations. women working in STEM fields can capitalize on existing markets.
The groups created through micro-segmentation t
ypically consist of a handful of customers, helping brands with highly personalized predictive analytics and marketing optimization. As a result, it is e
asier to predict the effectiveness of sales and marketing strategies across different micro-segments or customers.
Microsegmentation variables
Micro-segmentation variables refer to different categ
ories by which customers are divided into small groups. This includes segmentation based on demographics, product usage, purchasing behavior, and situational factors. Let’s understand what these variables mean.