One of the easiest segmentation strategies you can employ relates to new items.
See, it turns out that you have customers in your database that love buying new merchandise ... these customers hate boring companies, they crave something interesting and exciting.
Conversely, you have customers who love the same-old-same-old. When it comes to e-mail marketing, for instance, these customers want something they can trust. Why not serve them up what they want?
Segment your customer base by merchandise preference ... create a variable that divides customers into those who love new items, those who buy a mix of product, and those who buy tried-and-true favorites. Use the segmentation variable to serve up home pages and landing pages that are congruent with customer interests. Use the segmentation variable to deliver e-mail campaigns that have merchandise aligned with customer interests!
RFM is great for targeting one catalog to one customer. However, RFM is tough to manage in a multichannel environment. This becomes clear ...
If you don't like geeky math, please skip this post, because I am about to show you how the sausage is made! I have eight variables in...
It's common for folks to measure cost per new customer. Total Marketing Cost = $10,000. Total New Customers = 130. Cost per New C...