Why segment your customers?
To better understand the differing needs of your differing types of customers
so that you can focus your attention on things your customers actually care about
(and are willing to pay for)
How to use your
Customer Segmentation template
Before you start
If you have not yet defined your product (or service) families,
then you might do that first...
using your Product Family Matrix template
Find and open your template
Find and open your template (CustSegment.xlsx)
in the same way that you find and open
your other 150+ Systems2win templates.
Save your working document, following the usual
document storage and naming conventions
established by your leaders.
If English is not your native language
Switch to your language, just like every Systems2win Excel template.
Open a Blank Sheet
When you're ready to start doing your own real work...
click the button to 'Open a Blank Sheet'
Excel Ribbon bar > Systems2win tab > Open a Blank Sheet
This blank sheet is where you will do your real work
(not on the Sample sheet)
Rename your new sheet
Step 1) Identify primary customer segments
Perhaps use Brainstorming techniques.
Customers can be external and/or internal.
Customers might include supply chain partners.
Step 2) Define sub-segments
Define characteristics that you believe may affect how each type of customer might respond to this product or service.
Examples of segmentation criteria:
You'll get a lot more out of this training if you have your template open in front of you
And like every Systems2win template, click any column header for pop-up help
Sales, profitability, length of relationship, frequency of purchase,
cost of doing business, customer purchasing potential,
strategic goals regarding market share or market leader penetration...
Customer size, geographic location, customer logistical complexity
(e.g. single vs. multi-location), industry...
Customer interests, features that interest customer most, service expectations, quality expectations, level of price sensitivity...
Step 3) Prioritize your target customer segments
All customers are not created equal.
What are the profiles for the best customers for this product or service?
Use the dropdown list to select the Priority codes that you define on the DV sheet.
Step 4) Use this knowledge
Make sure that each of your target customer segments are represented
in anything you do to understand the Voice of your Customers.
(e.g. interviews, surveys, focus groups...)
Ensure that any data that you collect is stratified to allow analysis by these customer segments.