The Challenge

Many businesses manually assign their customers into segments with the aim of using these high-level segments to gain insights into customer behaviour, and to inform strategic decisions and marketing efforts. However, it's often not clear how these different customer segments are behaving. In fact, customers within the same high-level segment can often behave completely differently from each other.

Businesses are looking for insights into how their currently-assigned segments are behaving and to determine new ways of more meaningfully segmenting their customers.

The Solution

Data-driven clustering techniques (clustering algorithms) can be used to derive new customer segments that successfully group together customers who are buying similar products in similar volumes. Dimension reduction techniques can allow interactive visualisation of how these new clusters behave, and how they relate to each other.

By linking sales data with external industry data, it's also possible to identify current market position, and segments where market share is lacking, identifying prime areas for market expansion, representing huge opportunities for growth.

If you're looking to more meaningfully segment your customers, gain deeper customer insights, and to identify new market segment opportunities, contact us to start the conversation.