GLOSSARY
Customer segmentation
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Customer segmentation is the process of dividing your customer base into groups with similar characteristics or behaviors to better tailor your products, marketing strategies, and services.
What is Customer Segmentation?
Customer segmentation involves categorizing your customers based on shared traits or behaviors to optimize your business strategies.
Why It Matters
By segmenting customers, startups can create targeted marketing campaigns, improve product development, and enhance customer satisfaction.
Examples
- Segmenting customers based on demographics like age, location, or income level.
- Grouping customers by behavior such as frequent purchasers or inactive users.
Related Concepts
Persona Development: Creating fictional characters that represent customer segments to guide business decisions.