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January 29, 2016

Defining Customer Data Platform Behavioral Segments

At first glance, Lytics’ behavior-based segments can seem like a lot to take in. Let’s take a moment to break down our Customer Data Platform’s pre-built segments and explain how any modern marketer can put them to use immediately.

For these definitions, let’s imagine that I run a super-popular website that sells wool scarves. I have an email newsletter that delivers product updates and coupons to my users. I also run paid media to remind people about my scarves and to, of course, drive new traffic to my site.

Before we explore how Lytics pre-built segments can help my business, why would any digital marketer even care to use them at all?

Why You Should Build Audiences Based on Behavioral Data

Without behavioral data, your marketing audiences and segments are likely built on demographic data and market research. While being a great starting point to build initial user personas on, or to test market entry, you’ll like be waiting on the next industry report or survey to adjust your understanding of the customer.

Collecting and unifying customer and user behavioral data allow marketers to build a growing, continuous understanding of how customers interact with the marketer’s brand experience. Marketers can visualize customer interest and get a better sense of actual customer behaviors and intent, and use these to inform channel and content planning based on actual user data.

These are steps towards building true marketing personalization, and not just continuing to use generalizations based on age, gender, and location.

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The more campaigns and programs are run, the better these segments become, and marketers gain a continuously increasing understanding of their customers and users.

Trends and insights that come from unified behavioral data can show your most engaged users so you can see who is most likely to convert, purchase, or even who shows signs of having a high customer lifetime value. A Customer Data Platform, like Lytics, can help you take data behavior-based segmentation and act on it within your existing tech stack.

Here Are A Few Examples

So, let’s apply a few segments to some marketing tactics that I could use with my example scarf business.

Re-Engaging Dormant Users

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I can combine user interactions from my website, shopping experience, mobile app, email, and advertising to identify customers who are sluggish to purchase or haven’t visited lately. Using Lytics, I can export my segment of Dormant users and try and email them an incentive to return, or even run a retargeting campaign to remind them about my awesome scarves.

Retargeting Previous Visitors by Interest

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Unifying customer and user data allows me to identify new and returning visitors. I can create customer segments based on their known interests and content topics they enjoy (pages they view most, etc.). For instance, I can build a segment for customers who clearly appreciate my more expensive inventory, where I can retarget them via paid media to view an exclusive scarf lookbook or show them a special offer on my premium goods.

For my customers who enjoy more affordable looks of certain styles, I can build the proper segments and export them to my mobile app or ad networks to target them with incentives to get them to visit and make their first purchase.

Personalizing Emails and Push Notifications to Attract High-Value Customers

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Of my known customers (customers whom I can identify by name or email), I can build segments based on the behaviors of my favorite customers who spend an ungodly amount of money on scarves every month. Not only can I segment by the amount of money they spend, but also by other specific behaviors and topic affinities that allow me to understand what and how my best customers prefer to be treated.

With a push of a button, I’ll sync this segment of high-dollar scarf lovers and send them an incentivized email to purchase more scarves or tell other people about my business. I can do this same thing in my mobile app through rich push notifications.

Suppressing Ads for Users Unlikely to Engage

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Raise your hand if you love wasting your advertising dollars on people who don’t care and the weird robots on the internet. No one is raising their hands. Yeah, thought so.

By building advertising and retargeting segments that exclude my low-value and users unlikely to convert, I can export them to Facebook or the Google Display Network to only target users who want to hear about my scarves.

Want to Give It a Try?

As you can see with the examples above, Lytics allows any marketer to access the means to unify cross-channel marketing data to build behavior-based segments that wouldn’t be accessible with execution tools alone. It’s the next step beyond demographic-based segmentation that allows marketers to take steps closer to true personalized marketing.

We’ve seen clients improve their mobile ad and app campaign performance by 80 percent or more. We use these segments ourselves and see retargeting savings as high as 300%, while serving content to returning visitors based on their known interests and interactions.

The best way to see this in action is through a demo. We’re always available to show any marketing team how they can improve their ROI and engage customers like never before.

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