Do you ever ask yourself why do you do this? like why you go outside during a blizzard Up for an iced coffee?
For marketers, behavioral insights are not only interesting but crucial to understanding their audiences beyond demographic and geographic data.
To understand the behavior of their audiences, marketers can apply behavioral segmentation, an analysis that groups prospects and customers into distinct segments based on their behavior.
behavior is a part of segmentation behavioral marketingA set of methods for collecting and analyzing consumer behavioral data to segment and target audiences with laser-like precision.
In this post we will know:
What is behavior segmentation?
Behavior segmentation is a type of analysis that categorizes prospects and customers into segments based on their behavior interacting with the business.
With behavioral segmentation, marketers can gain a more comprehensive understanding of their audience’s motivations and needs, resulting in better tailoring of products and services to their customers.
The behavioral split is interesting because it intersects with psychology – when we think about how and why someone behaves, we naturally think about their psychological motivations.
However, behavioral segmentation is different from psychological segmentation.
Psychographic segmentation is rooted in lifestyle, interests, values and even personality traits. Behavioral segmentation is about how a customer interacts with a brand and their products or services.
For example, marketers can segment people based on website behaviors such as clicks, page views, social sharing and media plays.
Why marketers need behavioral segmentation
Marketers need behavioral segmentation to learn how potential customers are likely to use a business’s products and services and their level of engagement. Behavioral segmentation also fosters cross-functional collaboration between marketing and product teams, helping them align messages.
Identify busy users
Behavioral segmentation helps marketers identify the most engaged users. Trying to engage cold leads would be a waste of marketing budget and time. By analyzing behavior such as opens and clicks, marketers can cut through the noise and allocate effort to engaging users who are already interested and likely to convert.
Personalize the user experience with your brand
HubSpot’s Behavioral Targeting Tool Helps you personalize messages.
Generic message will not get stuff. Providing a personalized experience will go a long way for your brand. Behavioral segmentation helps you learn about the needs of your audience, allowing you to customize your messaging so that you can deliver relevant offers. tools like HubSpot’s Behavioral Targeting Tool Mass marketing can help by enabling marketers to personalize the outreach.
retain customers
You have done all the hard work to convert leads into customers. How do you keep them now?
Behavioral segmentation helps businesses retain customers because marketers know how to personalize the experience for different users. Tailoring experience so users feel their needs are being prioritized increases customer loyalty.
Four Types of Behavioral Segmentation
1. Buying Behavior
View customer’s purchase behavior and transaction history. It provides insight into how and why they decide to convert as well as which steps in the buyer’s journey go smoothly while a prospect may hit a slight bump along the way. It also gives you an idea of which behaviors can best predict conversions.
2. Benefits sought
Identify what your customers want from your product or service — out of all your features, what do they need most to solve the challenge(s) they are experiencing? What specific benefits do they get from your product and which of those benefits are most important to them? Determine which of these benefits are most influencing their decision to use your product/service.
3. Buyer Journey Stages
Understanding which stage of the customer journey leads to the most conversions or which stage prospects get hung up on the most while predicting behavior and segmenting customers based on those behaviors. However, it’s important to note that using customer journey stages in behavior segmentation can be difficult because there are so many stages – and within those stages there are many touch points that contribute to the behavior or stay in one stage or another. Let’s decide to move on to a new stage. , traveled to the buyer. That’s why it’s recommended to use a platform like your CRM or AI/Machine Learning tools – they record and track all interactions throughout the buyer journey to ensure you get the most out of your customer’s buyer journey behavior Getting a complete view of the data.
4. Experiment
Usage-based segmentation enables you to segment your customers based on how they actually use the product or service, how often they use it, how long they use it in a session, Or what features do they use the most.
For example, if you sell software, you might choose to segment your customers into more specific usage categories — for example, heavy users versus average users versus light users. Then, heavy-user messaging might highlight advanced features and engaging campaigns, while low-usage messaging might encourage more usage by discussing key program features or how to use them.
behavior segmentation example
1. Opportunity
In 2020, Taco Bell launched a Taco e-Gifting service in time for the holidays. ,image Source,
Was it a specific occasion that influenced your customer’s decision to convert? Is the buying decision also based on time of day or stage of life
Occasion-based segmentation can help you tailor your message to a specific time during the year when certain audiences interact with your brand.
For example, if you are an online greeting card service, you may get repeat customers every year during the winter holiday season. For those customers, your Q4 messaging can amplify holiday deals and offers.
2. Customer Loyalty
Starbucks Rewards offers perks to customers. ,image Source,
Customer loyalty provides a concrete look at customer behavior – loyalty is directly related to customer habits, actions, needs, usage, and timing of their actions.
Think about using customer loyalty when segmenting customers based on behavior:
- What parts of the buyer’s journey are enjoyable enough that they result in loyalty?
- How do you currently make loyal customers feel happy?
- Which prospects are most likely to become loyal?
- What qualities do your loyal customers share?
3. Engagement
Sephora offers unique benefits for extremely busy customers. ,image Source,
Engagement refers to the type and frequency of interactions you see with certain customers.
These interactions may include site views, clicks and social media activity. You can segment your customers on the basis of high engagement vs average engagement vs occasional engagement.
Highly engaged individuals are those who have included your brand in their lives on a regular basis. Average users may engage with your brand or product/service fairly regularly but may not take advantage of its full potential and capabilities.
Sometimes users may randomly associate with your brand or product/service based on their specific need but don’t count on it. For example, Sephora offers a community for BeautyInsider members.
Grow better with behavior segmentation
Behavioral segmentation is critical to your business’s success in identifying and understanding target audiences and tailoring your marketing strategy accordingly. It helps drive leads, convert them into customers and increase brand loyalty.
Be sure to keep in mind the behavioral segmentation variable and incorporate a tool like HubSpot for further support throughout the process.
