Customer Profiling Process
So you know that customer profiling will enhance and improve your overall marketing, but how does customer profiling work?
The following provides a simple overview: –
Data Cleanse & Validation – Your customer data needs to be cleaned and validated to enable customer analysis and enhancement enabling profiling.
Single Customer View – If you have disparate data sources, marketing and operational this needs to be consolidated in a single customer view so that each customer’s information whether email response, brochure download or purchase can be analysed together.
Data Enrichment – Your data can be appended with variables such as age, life stage, income, hobbies or consumer classifications such as Mosaic to provide flags against individuals
Customer Segmentation – The process of grouping customers into similar characteristics which may be by demographics, purchasing behaviour or a more sophisticated combination of the two.
Strategy Alignment – Once you understand who your customers are and have segmented them into groups you can develop a strategy to drives sales and performance based on their individual requirements. Each segment will require a different strategy and communications based on who they are and where they are in the sales process.
Targeted Marketing – Once you have developed your marketing strategy to nurture both customers and prospects you are in position to implement targeted marketing. This is marketing based on the interests and needs of each segment rather than blanket marketing to all.
Gain the competitive edge
Customer profiling is a powerful tool for marketers, providing the insight and knowledge to improve strategy and decisions. In a customer centric age, to overlook the value of customer intelligence or to base decisions on gut feel alone could be a costly mistake.
Customers have the world at their fingertips (literally with the technology available). The buying process has changed with consumers now being able to conduct in-depth research on your products and services from home, instore at point of purchase, days, weeks or months before they buy.
To connect to your target market, you need to communicate and engage effectively. If you want to get ahead of your competitors, treat your customers and prospects as valued individuals. To achieve this customer profiling is key – ignore at your peril!
Contact us now to find out how customer profiling could benefit your business – find out more