Psychographic segmentation refers to the breakdown of customer groups based on internal, psychological characteristics that may influence their buying behaviour, including:

• Attitudes and beliefs
• Values
• Personality
• Interests
• Social Status
• ...

• Use the data to identify what’s most important. Look for the variables that are the biggest differentiators, and then work your way into the details.
• Make sure that your segments don’t overlap.
• Be sceptical. As you’re developing your segments and crafting your customer stori...

Customer segmentation is the process of dividing your target market (potential customers) into groups based on shared characteristics. For example, you can segment customers based on their needs, behaviors, lifestyles, or other attributes that may impact their purchasing behavior.

All these...

Behavioral segmentation is the grouping of customers based on their behavior patterns through their interactions with the company. Companies using behavioral segmentation typically segment customers based on their past purchase behavior (timing, usage, frequency) or stages in the buyer journey.

In this step, you’ll test hypotheses and themes revealed in the exploratory study to solidify which characteristics are significant differentiators for your target segments.

The insights from your exploratory research are an essential guide for your main study questions. If you skip this p...

Creating customer segments is an artistic process as much as it is scientific, so take your time with this step and keep an open mind when analyzing the data.

Statistical analysis tools can help you identify which variables are significant and which ones are not, but you will also n...

Reviewing the different segmentation categories can help you brainstorm what kind of questions you want to ask your audience, and how you will define or describe your segments. We recommend testing more than one type in your segmentation research.

That way, even though you pick only...

Geographic segmentation refers to the segmentation of customers based on the region that they live and work in, and the characteristics of that location. This includes:

• Location (country, state, province, zip code)
• Climate and Topography
• Language
• Culture...

The better you understand your customers, the easier it is to sell to them. Creating effective customer segments helps you gain unique insights on how to capture your audience’s attention, increase sales, and keep your customers happy.

Here are some of the many benefits of customer ...

We’ve gathered everything you need to know in these four steps to customer segmentation research.

Keep in mind that the research process may look slightly different for each company. How you segment your customers may depend on how much you already know about your target market and ...

Type 1: Demographic Segmentation

Demographic segmentation refers to the grouping of customers based on demographic characteristics. This includes variables such as:

• Age
• Gender
• Income
• Occupation
• Education
• Ethnicity