At a broader level segment-of-one is a micro management of customer meta- data at an individual level, a set of data that describes and gives information about other data, generated through various points of contact with online or outdoor retail stores, and leveraging the same for the businesses’ growth.
Simply put, it is segmenting of different customer choices, preferences or likings into specific need, taste or choice based categories of goods and services. The segmenting is a subtle and effective way of determining the varied to specific interests of customers.
High value customers
Segment of one comprise of micro segments aimed at individual customer in a unique way. This individual targeting enables retailers to turn visitors into what experts say ‘high-value’‘long term’ customer at a much quicker pace than otherwise possible.
Buyer centric approach
- On web pages online marketers show products closer to customers’ liking after analysing individual buying pattern.
- This very individual buyer centric approach is at the core of the segment-of-one marketing and one of the significant factors for driving businesses.
- Some of the big online retail stores are already putting it to effective use, helping their businesses thrive exponentially.
How to micro-segment!
Micro segmenting is done mainly through individual leverage and grouping them based on identical traits.
- Individual leverage happens with a customer’s generic visit to web sites.
- With the increase in the use of sites companies get to learn more about the customer enabling them to finely segment customers.
- This further encourages customers to increase their use resulting in more business for the company.
- As more like-minded customers visit the web sites companies identify a common set of pattern.
- More people visiting sites means more recommendations encouraging more customers to follow suit resulting in more sales and increasing profits.
- From earlier hard coded html version of company brochure, content management to the latest deployment of segmentation engines, the shift in the way of doing business has been more pronounced than ever before.
- No more just blasting database or sending generic emails to customers, segmenting database and targeting specific segment of customers with individual emails is fast becoming the order of the day.
- Given the scenario, market experts predict a rising trend of segmenting email to individual customers to significantly increase the rate of conversion. But it is still early days for segment of one.
- As more and more enterprises learn to take advantage of process of segmentation on their websites to connect front end to the back end of marketing process a windfall is imminent.
Time to gear up!
- For enterprises, still to come to grips with the new reality of market place, it is high time they streamline their marketing database.
- It is also imperative that they integrate the information at their disposal so that it can be segmented in every possible ways to convert visitors to their website to real and returning buyers.
The metadata around contacts will also facilitate creation of fine segments. This leaves enterprises with the most important task of improving their business prospects by targeting contacts with timely emails and useful web contents to improve the rate of customer conversion. More the interaction with contacts better will be the understanding of customers’ preference and chances of increasing profit margins, dramatically!