The secret of successful data segmentation

By Linda Hausken, ADMA

Creating alignment between data professionals and marketers may well be the key to unlocking the secret of successful data segmentation and its value within businesses. “As a starting point for success, data people need to get better at educating marketers and our businesses about what we do, what models we use and how they work,” says Paul Dixon, Segmentation and Customer Data Manager at TruEnergy.

Data segmentation is more important than ever because if you get it right your marketing spend is not wasted on talking to the wrong customers. Segmentation is dividing your customers into groups that are similar, specific and relevant to your marketing, such as age, gender, interests, spending and habits. It’s about starting with the data you have and understanding which data will be most effective to develop and target your marketing. “It is the first step in trying to understand your customers,” Dixon notes. In a perfect world, segmentation will give you an insight into how your customers think, how they do things and how they might respond to your marketing or your products.

“These days, people are getting more strategic around their segmentation and I believe it’s a reflection of segmentation and that it’s becoming more accepted and in demand,” Dixon says. Even though getting it right might seem like the magic answer to understanding your customers, it is only the beginning of the journey. He says,” data people tend to forget that marketing is an art form in itself“ and that “they need to get much better at working with marketers as well as trying to understand what they are aiming to achieve in the long run, it’s a two way street.”

In order to be successful at data segmentation, data professionals and marketers not only have to work in synergy but they also need to work towards a common goal. “You need to have a clear view on what you are trying to achieve from the get go. The clearer you can be on what you are trying to do, the better model and the better project you’ll create. If you have a strong end game it’s going to serve you well in the long run,” Dixon advises.

To hear Paul Dixon present “Exploring Data Segmentation” and gain some solid advice on how to segment more efficiently, register for Data Day 2012. 

Data Day is being held in Brisbane on the 10th of May, Sydney on the 15th of May and Melbourne on the 17th of May. For more information and to register click here.

Early bird closes 20 April so register today.


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