Marketing Segmentation Challenges and Opportunities


Customers expect a personalized experience and marketers are clearly seeing the opportunity on marketing segmentation and personalization. In fact, personalized media programs led to improved response rates, increased sales and strong brand perceptions for 48% of marketers. Personalized emails drive 6 times the response rate over generic emails and a solid personalization strategy across channels can deliver 5 to 8 times the ROI on marketing spend.

What is Market Segmentation

Segmentation is the process of subdividing your customer-base or prospective market into defined groups that have common demographics, needs, interests, priorities, and/or regional characteristics. Segmentation enables marketers to implement personalized strategies that are highly relevant and targeted to each group – increasing overall campaign effectiveness.

Since 86% of consumers say personalization plays a role in their purchase decisions, why are marketers struggling to segment and personalize?

  • 36% of marketers report that personalizing messages across channels is a challenge.
  • 85% of brands say their #segmentation strategy is based on broad, simple clustering.
  • Less than 10% of top tier retailers say they’re highly effective at #personalization.
  • 35% of B2C marketers said building a single view of each customer across channels was an extreme challenge.

In this infographic, Kahuna details why segmentation and personalization is not a nice-to-have but a must, the returns from moving beyond overly simple segmentation, and what’s holding marketers back.

Market Segmentation and Personalization

About Kahuna

Kahuna is a communication automation platform that leverages rich cross-channel data to create and send personalized messages at scale. Use push, email, in-app, and social channels to communicate with your customers when and where they are most likely to engage.

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