Market Segmentation: Actionable Information Builds Success
A solid segmentation study is the benchmark upon which long-term strategic plans are built. These in-depth views of markets enable the development of appropriate strategic direction by defining and sizing customer or prospect segments. A successful segmentation study helps to prioritize limited marketing resources against the most valuable and “targetable” segments.
Successful being the key word …
All researchers know that a segmentation study is only successful if it is truly actionable. RTi has taken a novel approach to ensure actionability and success.
RTi’s unique two-stage segmentation solves the age-old “actionability problem” -- we employ a proprietary segmentation model to first find the demographic breaks that split a sample so that it segments as cleanly as possible on a set of needs or attitudes. Then, the model produces detailed, descriptive information on each segment, allowing it to be identified, located, and interpreted.
More useful and actionable than Classical Cluster Analysis — Classical techniques of attitudinal segmentation, like Cluster Analysis, divide people into meaningful groups. However, because the groups are not associated with an outcome measure or with background data, these traditionally developed segments are often not useful or actionable.
More involving and applicable than Targeting or CHAID — Targeting methods like CHAID produce groups that are related to an objective and are easily identifiable; but since CHAID doesn’t work well with attitudinal data, these groupings tend to lack depth and complexity.
RTi’s exclusive segmentation research has a proven track record of identifying segments that are interesting, useful, and most important, actionable.