No doubt, all businesses are set up to make a profit—even the ones set up to solve a particular problem(s). We live in a business world that is as competitive as never before. Strategies need to be implemented to sustain and improve business conversions. Automated customer segmentation is one contemporary business strategy that allows you to target specific customers to provide more specialized and relevant products and services. When your products and services are directed towards the relevant audience, you are poised to sell better and for a sustained period. Customer segmentation provides you with a better understanding of customer behavior to help you find out what they want and/or need and how they want it.
What is Customer Segmentation?
Customer segmentation is organizing or dividing your customer base into different categories based on certain peculiarities and characteristics, putting your business in a position to market effectively and relevantly to the particular customer segment(s). Customer segmentation works with first-party data to be effective; this is information collected directly from the buying audience. Information such as customer likes and dislikes, purchase history, gender, in-store or call center interactions, and others alike are used to segment customers to particular product segments.
In business-to-business marketing, customer segmentation is usually done based on numerous factors. The major segmentation factors are industry, number of workers, products and services previously purchased from the company, and location. Other segmentation factors common in the consumer space include age, gender, location, interests, and market behavior. From the aforementioned, we can conclude that there are four major types of customer segmentation— geographic, psychographic, demographic, and behavioral.
What Are Automated Customer Segmentation Programs?
Customer Segmentation programs, also known as lead nurturing programs, can theoretically be established one message at a time, which may work for some small organizations. But how can you scale to hundreds of thousands, tens of thousands, or even millions of customers? Incorporating all of your talking points into a single email or SMS message may result in information overload, which your audience will be unable to process.
An automated customer segmentation program automates the lead nurturing process by delivering a series of emails, text messages, or other Voice Messages with Ringless Voicemails, Voice Broadcast, or Telesurveys to a focused set of customers or prospects depending on the criteria you provide.
Why is Automated Customer Segmentation Crucial?
Customer satisfaction and experience are crucial to the success of any business; talk less of the maximization of such success. You need to improve the way the buying public perceives your product— this is what will drive sales. To achieve all these, you need a working automated customer segmentation system. Automated Customer segmentation is not only important to knowing the types of customers you have but vital to optimizing your marketing strategies and maximizing a customer’s value to your products. Let’s consider three major benefits of customer segmentation:
• Customized Retargeting
This is one major benefit of customer segmentation. You can easily retarget customers based on customized promotions and offers with customer segmentation. You have done customer segmentation, and now you know your customers better— you know what would interest them and why. You could tailor your product promos towards such customer preferences to attract such customers. Easy and simple.
• Retention Strategy
Customer segmentation is a good way to retain customers, thereby maximizing profit. As a result if effective and productive customer interaction, and behavior research, you know better what they want. You will no longer base your services on general market standards but on peculiar customer emotions and standards. You are now in a better position to be their go-to seller.
• Feedback To Improve Customer Experience
Remember, great customer experience is always key to driving your business sales. Customer segmentation makes it easier to receive and analyze feedback from different categories of customers. You get to know what you should retain and what to improve on.
How To Segment Your First-Party Data For Outbound Marketing
You should ascertain the top, middle, and bottom of your marketing funnels and the marketing qualified lead criteria that trigger a handoff to sales, using lead scoring rules. For example, FlowUp can be used to quickly give numeric values to specific digital behaviors that add up to precisely defined criteria. Since you already know your customers, ensure that information is entered into FlowUp or the particular platform you are using. To ineffective texts, it is critical to separate consumers from potential.
One of the most common types of segmentation is personas or roles. Segmentation based on personas usually falls into one of three categories:
- The decision-maker.
- Influencer: Promotes your products and services by recommending solutions and advertising them.
- User: the consumer of your product and services.
You then want to use industry terms, and relevant content in your messaging can help you stand out from the crowd. You should specify the industries to which you sell and tailor your messaging and content accordingly. Changing basic nouns is often all that is required. Customer = donor = patient, for example, depending on your particular niche(s).
You could also do interest-based segmentation, which is based on behaviors that have been discovered in your customer interactions. These segments can be used to initiate particular email nurture programs or remove persons from existing programs. FlowUp to is a great platform to send targeted messages to cross-sell or upsell based on this type of information.
Timing your messaging and product content marketing depending on cultural norms and specific time zones is a terrific method to boost your campaign’s effectiveness considerably; you’d be surprised at its productiveness in converting leads and major sales.
The importance of customer segmentation to driving business sales is obvious, and the numbers say it all. According to a study by Hubspot, businesses that used customer segmentation in their product campaigns had 14.31% higher open rates and saw 101% more clicks than non-segmented ones. The result is also evident in email marketing. Segmented email marketing campaigns generated a 760% increase in revenue; that’s huge! It was also reported that customer targeted product campaigns brought in 77% in investment returns on the marketing expenses.
A 1000-participant survey also showed that 80% of the participants tend to patronize business brands that personalize their experience with them. They felt like the product was specially made for them— that’s the effect of good customer interaction to get the needed information.
How To Perform Automated Customer Segmentation With FlowUp?
FlowUp is the best automated customer engagement tool you can find and you want around while expanding your business. You’ll need a technology that seamlessly segments and nurtures your leads to get the most out of Automated Customer Segmentation.
That is why we have developed a solution called FlowUp to fit your unique lead segmentation requirements.
FlowUp is a multi-channel marketing automation platform that tracks your customers across all of their touchpoints and automates the lead segmentation process. A top-notch contemporary tool that can be used to automate all customer segmentation processes. FlowUp can be used to quickly give numeric values to specific digital behaviors that add up to precisely defined criteria and also based on the lead’s latest disposition you can decide the next follow-up action.
FlowUp can automatically analyze the numeric values given to information and also can help you figure our specific number of leads having common final disposition status which you can segment into a dedicated separate list with just a single click functionality. FlowUp can automate your product content based on customer interests, location, and other factors to ensure your content distribution is customer-targeted.
Do you want to know how FlowUp handles Automated Customer Segmentation? – Now is the time to schedule a demo!
Your product content information must speak directly to your particular audience— this is the importance of segmented marketing, wherein customer segmentation is important. You want to make your audience feel honored and important. When you tailor your products according to customer preference, you get them attached. This way, you are ready to drive huge revenues!