Segmentation

Introduction

All you need to know to understand your customer, in one place. Segmentation studio helps you create meaningful customer groups based on multiple criteria not visible in standard BI tools and deeply understands their behaviour with help of AI models. Being able to develop a specific customer segment and recognize their distinct buying patterns and behaviour, it enables you to create data-driven marketing, sales actions & campaigns that will deliver above industry standards converting campaigns and ROI.

Segmentation Studio allows you to:

Gather all customer-related data in one place enriched with statistics insights and AI powered attributes
Use a lab of filters to create an adequate group of customers, with over 50 different selection options
Play with audiences to get the most of it - expand, intersect or merge multiple audiences and cross their power

Overview

Segmentation studio is made of four separate elements - Segments, Insights, Audiences & Profiles.

Core functionalities of this studio are:

creation of new segment in 5 simple steps using up to 50 filters AI-based, feature-engineered or metadata filters
upload of your custom audience file
audience sort by many available attributes
lookalike audience creation according to selected attributes that matter to you the most
dig into insights with metrics such as customer lifetime value, average basket value, customer segmentation etc.

Segments

In Segments tab you can find automatically created segments based on AI customer segments, create lookalike of your selected segment, extract top N customers from any segment and intersect two different segments. There is also an option to preview audience, export or delete them.

Insights

Insights contain rich and detailed descriptions of your customer base. You can analyze your customer base on different levels - aggregated on a highest level of all customers, to the level of specific segment, audience or even customer.

Audiences

Audiences section gives an overview of all available segments, that can be further analyzed or engaged through different marketing activities. Here you can see all your audiences, upload your custom audience file, preview and export audiences and sort your audiences by source.

Profiles

Profiles tab offers you a 360 view of your customers. You can search for any specific customer and see their behaviour - history interactions, recommended products, customer transitions over time through segments, estimated customer lifetime value etc.

Segment types

Customers – personas who have made at least one purchase

Prospect – personas who haven't purchased anything but have left their contact (email or a phone number)

Visitor – personas who have visited your website but we don’t have any contact information except long cookie ID

Uploaded audience is your custom audience you created locally and uploaded to Solver AI Suite through Segmentation studio > Audiences tab > Upload.

Static audience is an audience you have created using filters and rules but its count always stays the same as in the moment of creation.

Dynamic audience keeps the rules and filters you have applied but the number of customers varies as they meet the chosen criteria

How to create a new segment

Navigate to Segmentation studio > Create a new segment in the top right corner of your screen.

Creation of a new segment is done through 5 simple steps.

Step 1: Give your audience a name

Step 2: Select filters you want to apply from the list of available filters (for example: average basket value, days since last purchase, consent etc)

Step 3: Cross you audience with other segments

You can also select lowest CLV (customer lifetime value) which is a model that predicts the future customer monetary value based on previous behaviour of your customers.

This feature is an addon so it might not be available on your environment. If you would like to add this feature, please contact our sales team. (add hyperlink)

Step 4: Filter customers by choosing one of the attributes from the drop down menu (eg. product, category, brand etc)

Step 5: Audience overview allows you to check all the filters and rules you have applied and select if you want your audience to be static or dynamic. (add hyperlink)

In any of the steps above you can click on Check audience count button to see the number of people in that particular audience.

How to create a segment of top user by specific criteria

Top N feature allows you to find top number of customers in an audience using any of the available rules (eg. average monthly spending, average basket size, age etc). You can sort them in an ascending or descending order. This audience can be saved or exported to csv file.

Navigate to Segmentation studio > Top N > choose from available attributes

How to find similar customers using lookalike

Use lookalike feature to expand your chosen audience to a desired number by selecting any of the available expand attributes (eg. customer lifetime value, recency, frequency etc).

Navigate to Segmentation studio > Lookalike

Note: This feature is an addon so it might not be available on your environment. If you would like to add this feature, please contact our sales team. (add hyperlink)

How to create a segment of customers that are interested into specific product

In this example, we will show how to create a segment of users that are interested in specific product.

Take the following steps to create this segment:

Follow the steps of Creating a segment until Step 4 (add hyperlink to campaign creation explanation)
In the drop down menu of Step 4 choose field “Product”
Find and select the specific product in the search bar
Choose “Recommended” in the filter rule drop down menu
Choose type of recommender system you want to apply from the drop down menu (add hyperlink that leads to explanation of recommender systems) and score from 1 to 100 (add link to explanation of what is score and how its calculated)
Check how many people you have in this audience by clicking “Check audience count” button
Finish creating segment

How to create segment of users with recommended products

Navigate to Segmentation studio > Create new segment. Once you have created a new segment, 10 product recommendations will be added to every customer in this segment. Export this segment to see those products.

How to export segment as CSV or excel

Navigate to Segmentation studio > find the segment you want to export > Actions > Export to csv or export to excel

How to delete segment

Navigate to Segmentation studio > find the segment you want to delete > Actions > Delete

How AI is embedded into segmentation process

Segmentation process is a way to better understand your customer base taking into consideration their habits and interactions, based on which we identify several groups of customers who have similar activity. Customers are segmented at a basic level by their lifecycle activity using RFMT parameters:

Recency - when the customer was last active in a given cycle
Frequency - how many purchases the customer had in a given cycle
Monetary value - how much money the customer spent in a given cycle
Tenure - when the customer made the first purchase in a given cycle

Standard cycle time observed is 6 months. This can be adjusted to a shorter or longer period of time, depending on particular industry.

Customer segments are shown within Segmentation Studio and can be used for analysis within c360 on an individual level and in Insights on a segment or audience level.

Use Cases

Find Top 10 paying users

Navigate to Segmentation studio > Top N. Under Audience count enter 10 and under Sort by select average monthly spending and choose Descending option to get top 10 customers with the highest average monthly amount spent.

Find Top 10 visitors by time on website

I have customers - how to create a personalized offer for them?

In this example, we are going to offer our customers recommended products. This is done through Smart recommendations available on Touchpoint studio.

To create a carousel with recommended products, follow the next steps:

Navigate to Touchpoint studio and create Carousel touchpoint
On step 3 select goal you want to achieve which will give you available recommender models
Select the recommender model that suits best your strategy.