Glossary

Your go-to resource for acronyms, jargons, terminology, and useful words for product and customer experience teams.

Contents

User segmentation 

What is user segmentation?

User segmentation is the process of dividing users into groups based on shared characteristics. Segmentation allows companies to better target their marketing efforts and product development to specific groups of users. Segmentation can be based on many different factors, including age, gender, income, location, and interests.

Why does user segmentation matter?


There are countless reasons why user segmentation is important, but here are just a few:

  1. It allows you to target your marketing efforts more effectively.
  2. It helps you to better understand your customers and their needs.
  3. It enables you to track and measure the success of your marketing campaigns more accurately.
  4. It allows you to allocate your resources more efficiently.
  5. It helps you to improve the overall customer experience.

User segmentation is a powerful tool that organizations use to get a better understanding of their user base. By courting groups of similar users and exposing the attributes common to a company’s most successful customers, organizations can learn how each segment uses the product differently. This knowledge can then be used to determine which marketing channels are more likely to attract those who tend to convert to paid users.

User segmentation is a powerful tool that can help organizations understand their customer base. By grouping together users with similar characteristics, organizations can learn about the different ways that each segment uses the product. This knowledge can then be used to determine which marketing channels are more likely to attract customers who are likely to convert to paid users.

What are the most common types of user segments?


There are three main types of data that help paint a picture of your customer base: demographic, firmographic, and technographic data.

Demographic data is information about the individual user, such as their age, location, language preferences, title, or role.
Firmographic data is information about the user’s organization, like industry, revenue, employee count, or business model.


Technographic data is information on the other technologies the user’s organization uses, including CRM provider, marketing automation tools, back office systems, or databases.


Customer data is information stored in a CRM about the customer’s relationship with the company, such as plan type, customer journey stage, annual revenue, account owner, or renewal date.

How do I implement user segmentation?


User segmentation is a process of dividing users into groups based on shared characteristics so you can better understand how they interact with your product. There are a few different ways you can go about implementing user segmentation, but one common method is to use data from your product usage analytics to identify common patterns among different groups of users. Once you’ve identified these patterns, you can start creating segments based on them and then begin testing different messages or features with each segment to see what works best.