Guide to behavioural segmentation

Filip Zajac
Draft · 3 min read

What is it good for?
• To document a digital marketing strategy
• To get business performance on one picture
• To get marketing, sales, product people on the same page
• To easily understand and involve digital transformation

1. Analyse customer journey

Once you have defined customer journey. Look for the following information.

  • What are the customer goals on every step of the journey?
  • What actions do customers perform on every touch point towards the goal fulfilment?
  • Which of those actions is possible to record and how?

2. Set up the funnel

The funnel, in this case, is a representation of the customer journey.

It can be used to validate the qualitative data of the customer journey.

Every step of the funnel is a segment, and the funnel metrics is the represents the segment performance.

Congratulations you have created your first performance-based target groups. Now you can better target your communication and optimise the business model.

Note: In a simplified explanation, the business activities aim is to pull customers from a previous segment and push to a next segment.

3. Slice the funnel longitudinally

The segmentation is most probably not that simple. The customers don’t behave like sheep and there are nuances that soon or later must be targeted individually.

For instance:

  • Customers might come with entirely different motivation, therefore will hear to a different message.
  • Customer tried the product, but her motivation was not escalated enough to perform a further conversion, and now she is back.
  • Customers skip a certain action, so it seems like no retention or activation.

Suggested records to track

  • Page visit source, or acquisition source
  • Product interactions
  • Number of visits
  • Email signups or social network follows
  • User forum posts
  • Support requests

Now we can target campaigns on the particular segments. Optimize the ongoing campaigns and sales, or optimize the product itself. If the sources are limited the team can easily decide where to focus its sources.

Visual representation of each segment enables

  • Quick overview of the current performance state.
  • Look of each campaign influenced the segments around.
  • Compare the performance cohorts through the journey