Customer Segmentation Models for a Leading Transmission Fluid Manufacturer – A Quantzig Success Story

Oct 3, 2018

Types of Customer Segmentation Models

Today, business organizations have a plethora of data available from an increasing number of information sources. While several industry players certainly appreciate the potential benefits of data sources, many still face complications in effectively turning such information into meaningful insights. However, to develop precise marketing campaigns one needs to keep track of customer behavior across different focus groups, and this entire process is made simpler with the help of robust customer segmentation models.

The different types of customer segmentation models:

  • Geographic Segmentation
  • Demographic Segmentation
  • Psychographic Segmentation
  • Behavioral Segmentation
  • Lifestyle Segmentation

To understand why customer segmentation models play a crucial role in driving business growth, request a FREE proposal.

5 Step Approach to Customer Segmentation

‘Customer Segmentation’ is a critical component of a company’s go-to-market strategy, yet leading business firms lack a precise definition and alignment around their top customer groups. If your organization falls into this category, follow these simple steps to kick-start the development of your customer segmentation strategy:

Step 1: Develop a list of hypotheses of the key characteristics of good customers

Step 2: Define a methodology for determining customer quality

Step 3: Analyze customer datasets to validate hypotheses

Step 4: Form segments of high potential customers

Step 5: Develop marketing, sales, and product roadmaps to target different customer segments

Client Profile

The client is a leading transmission fluid manufacturer in Europe.

Project Background and Solution Offered

Increasing competitive pressure and pricing issues have led to an inconsistent market performance; thereby, resulting in a sharp decline in profits. To address this issue and develop a deeper understanding of their customer segments, the transmission fluid manufacturer was looking to collaborate with a well-recognized company such as ours, to bring together industry insights, technology, and advancements to gain a distinct advantage in today’s rapidly changing environment. Quantzig’s customer analytics experts offered turn-key solutions to help the transmission fluid manufacturer turn their strategies into action.

To know how you can benefit from customer analytics, speak with our analytics experts.

Value Delivered to the Client

Quantzig appended customer data with other psychographic and demographic variables to identify high potential customer segments. The selection and implementation of the right model from the different types of customer segmentation models available, further empowered the transmission fluid manufacturer to leverage the use of demographic data to identify key focus groups.

Also, dividing the customer base into groups with similar characteristics enabled the transmission fluid company to deliver unique and attractive offers to each group.  Based on our solutions five unique high potential customer segments were identified, which enabled the transmission fluid manufacturer to change their overall marketing strategy and focus on individual customer segments.

The key focus areas of our solutions were:

  • Understanding customer groups
  • Differentiating customer needs and demands

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