Customer / Market Segmentation
Customer segmentation is critical and challenging. Understanding and quantifying your current customer base is the starting point for any successful segmentation.
This step in the process requires decision makers to analyze the customer data.
You need to define your current and relevant customer segments and quantify the segment size – number of customers as well as your current revenues for each relevant segment.
Consumer Segmentation (B2C)
- Demographic Segmentation – age, gender, sex, social class, income, education
- Geographic Segmentation – region, country, city, zip code, climate
- Psychographic Segmentation – lifestyle, attitude, activities, interest, personality
- Behavioral Segmentation – loyalty, product preference, price perception
Business Segmentation (B2B)
- company size
- ownership type
- value chain position
- frequency of purchase
- average order size
- product use
- annual budget
- financial strength