Behavioral Segmentation

Behavioral segmentation is a customer grouping strategy based on their actions and interactions. It's not about who they are (demographics) or what they believe (psychographics), but what they do.

Here's the key idea: By understanding how different customer groups behave, salespeople can tailor their approach to better suit each group's needs. This can significantly improve sales effectiveness.

Imagine you sell athletic shoes. Behavioral segmentation might involve grouping customers who:

    • Regularly buy high-performance running shoes (active runners)

    • Mainly purchase for casual wear (everyday sneakers)

    • Typically wait for sales and discounts (bargain hunters)

With this segmentation, salespeople can target their communication:

    • Highlighting technical features to the active runners

    • Focusing on style and comfort for casual wear buyers

    • Offering special promotions to the bargain hunters

In short, behavioral segmentation helps salespeople speak the customer's language, leading to more relevant conversations and ultimately, more sales.

    Behavioral Segmentation vs. Behavioral Targeting

      FeatureBehavioral SegmentationBehavioral Targeting
      GoalUnderstand customer behaviorDeliver targeted marketing messages
      Stage in Sales FunnelDeliver targeted marketing messagesLater stage (engagement)
      FocusGrouping customers based on actionsTailoring messages to specific groups
      Data UsedPast interactions, website behaviorPast interactions, demographics, interests
      OutputCustomer segments with shared behaviorsPersonalized marketing content
      Action by SalespersonAnalyze segments, adjust approachDeliver targeted communication

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