Customer segmentation is a marketing practice that divides customers into small groups of individuals who share similar characteristics such as gender, age, demographics, location, spending habits, etc. Organizations that use customer segmentation tools collect data and integrate data from various sources. They also utilize data analysis for segmentation. Of course, customer segmentation tools can only go so far, because they only provide views of customers in broad contexts. NGDATA’s Lily Enterprise goes beyond customer segmentation tools and drills down to the level of the individual customer. NGDATA is for those organizations that prefer to work in the segment of one, rather than in terms of broad segments at a single point in time.
Learn more about Lily, the leading customer segmentation solution from NGDATA. Or, get in touch with an NGDATA representative via email or phone to learn how Lily Enterprise can power deeper customer insights through a single customer view.
Benefits of Customer Segmentation Tools
Customer segmentation tools are useful for companies that previously had not attempted to target customers. In fact, Venturebeat determined that more than 70% of marketing automation users segment their audience. Identifying unmet customer needs and under-served segments can give companies a competitive edge by enabling them to tailor offerings to the segments that are most profitable. Prioritizing enables companies to develop marketing campaigns to get more value from customers. Customer segmentation tools also reduce risk for companies because they make base their marketing decisions on data analysis.
The basic benefits of customer segmentation include
- More efficient advertising, which leads to cost reduction
- Giving companies a new focus with each new segment
- Concentrated distribution
- Precise, tailored branding
- Increased revenue
- Increased customer retention
- Narrowed business focus
NGDATA’s Lily is rooted in segmentation for these reasons; however, it is more advanced and sophisticated than traditional customer segmentation tools to deliver individualized customer intelligence that enables companies to communicate via a completely customer-centric approach.
Learn more about Lily, the leading customer insight tool from NGDATA. Or, to speak with a representative of NGDATA for more information, contact us via email or phone.
Disadvantages of Relying on Traditional Customer Segmentation Tools
Traditional customer segmentation tools have their limitations; they cannot provide the single view of your customers because your data remains in silos and the tools lack the ability to match various interactions to a unique customer. This means that organizations that rely on traditional customer segmentation tools run the risk of misinterpreting the data because they do not have a real-time view of their customers on an individual basis. They also have more difficulty achieving personalization because they do not have a true single customer view. Hence, companies that rely on traditional customer segmentation tools miss out on the higher ROI that truly personalized marketing delivers to organizations.
The Value of the Segment of One and Lily Enterprise
Today’s consumers are savvy. They know companies are collecting more data about them than ever before, and they expect to receive highly personalized offers as a result. They also expect relevant interactions with companies, which means organizations must be delivering the right offers at the right time to every customer. Marketing campaigns that rely on traditional customer segmentation tools are at an automatic disadvantage because they utilize generalized information rather than the detailed, dynamic information on each individual that Lily Enterprise delivers.
Lily Enterprise is the answer to the limitations of traditional customer segmentation tools because it enables you to achieve one-to-one marketing easily. You will know your customers’ propensities and be better equipped to provide exceptional customer experience by putting your customers first and achieving true personalization. The benefits of personalization have proven to be valuable, as companies that send personalized emails improve click-through rates by 14% and conversion rates by 10%, and personalized campaigns outperform traditional campaigns by generating higher response rates from recipients.
With Lily, organizations’ marketing campaigns become more effective over time because they have the detailed individual information on each of their customers that is based on the actual needs and desires of each customer. Lily’s Customer DNA delivers the critical understanding of your customers at the individual level so that you have detailed information about each journey and each offer you should make and at which time.
Learn more about how Lily, the leading customer data solution from NGDATA, can help you overcome the limits of traditional customer segmentation. Or, to speak with a representative of NGDATA for more information, contact us via email or phone.
The Advantages of Lily Customer DNA
Lily Customer DNA is comprised of a configurable and scalable library of thousands of pre-defined and client-specific metrics that describe each customer in minute detail in real time. Customer DNA combines all customer data from multiple sources so that you have the benefit of insights based on a combination of socio-demographic, behavioral, contextual, and predictive analytics. It is Lily’s Customer DNA that gives you next-best-action and next-best-offer recommendations, the channel preferences of every customer, and actual omni-channel customer profiles. You will be able to engage with each customer during the full customer lifecycle, make the most relevant, timely offers, and avoid customer churn when you utilize the full power of Lily Customer DNA.
Lily Enterprise and Lily Customer DNA empower organizations to deliver more personalized experiences that are more relevant to each individual customer, allowing you to meet their high expectations and increasing the chances they will act. When you interact with customers on a truly individual level, you are sure to be relevant and increase your chances of upselling and creating long-term, high-value relationships.
Forget standard customer segmentation tools. Lily, the leading customer data management platform from NGDATA, eliminates the need for segmentation by providing a single, in-depth view of every customer. Get in touch with a representative of NGDATA for more information by contacting us via email or phone.