Behavior: A Critical Filter in Target Segmentation

2008-05-07 07:26

 

Segmentation is the identification of portions of the market that are different from the rest of the market. It's a classic tool companies use to understand potential customers and their marketing communications' foundation.

By grouping customers who exhibit similar characteristics, companies can better satisfy potential customers' needs. In a way, it fundamentally simplifies a broad, perhaps even overwhelming, market into digestible, actionable pieces for targeting.

Though most of us are familiar with how behavioral targeting works in principle -- using cookies to track non-personally identifiable online user activities (e.g., destination, clicks, and page views) to establish behavioral clusters -- we often still struggle with how to use behavior as a filter to actually segment the target audience.

 

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