No business, even with its full range of products and services, can be everything to everyone.

In other words, you can’t be successful if you don’t offer the specific user groups what they’re looking for – targeted and exclusively for them.

This is where user segmentation plays a key role.

What is user segmentation?

User segmentation or customer segmentation is a marketing strategy where customers are divided into groups and subgroups based on specific criteria.

For example, your business’s user groups can be divided based on:

  • How often do they shop from the store
  • How often do they visit
  • The price range of the goods they buy
  • Which brands do they prefer, etc.

Segmentation aims to define characteristic user groups whose members share common needs and have similar desires and direct them towards specific products or services.

Why is segmentation important?

Segmentation allows you to create personalized marketing strategies that cater to the specific needs of each customer group.

It also helps you achieve more sales, and consequently, your business gains higher profits.

Last but not least, user segmentation minimizes the risk of mistakes when implementing various marketing strategies, such as advertising products unsuitable for specific customers.

What are the benefits of segmenting your customers

When segmenting your audience, you achieve the following:

  • You successfully reach the customer and build trust in the brand.
  • You have effective marketing and advertising for individual product categories to users with the potential to interact with your business.
  • You achieve higher financial and human resources efficiency to promote the offered products or services.

Thus, you gain a significant prerequisite for creating a competitive advantage over competitors in the sector.