Segmentation, Targeting and Positioning - Learn Customer Analytics

Summary

This video introduces the synergy between customer analytics and data science, emphasizing the significance of understanding customer needs for business success. It outlines the 'S T P framework'—segmentation, targeting, and positioning—as a foundational marketing strategy. The course focuses on segmenting customers based on demographic and psychographic data, and positioning products to meet their specific needs through the Marketing Mix. Aimed at beginners, it offers a comprehensive data science training program, including courses on Time Series Analysis and Credit Risk Modeling.

Takeaways

• 💡 **Career in Customer Analytics**: A career in data science within customer analytics is a smart choice as leading companies seek skilled professionals to understand customer needs and provide desired products.
• 🔍 **Understanding Customers**: Companies require individuals who can utilize data to comprehend customer needs, which is fundamental for delivering tailored products and services.
• 🛠️ **Building Analytics Capabilities**: Essential skills include constructing analytics tools that aid in creating innovative customer experiences.
• 🧠 **Technical vs. Customer Understanding**: While technical analysis is crucial, a deep understanding of the customer is necessary for meaningful contributions to a company.
• 📈 **Importance of Customer Analytics**: Customer analytics is vital for successful business operations, with 'Know Your Customer' (KYC) principles being central to marketing strategies.
• 📊 **STP Framework**: The course focuses on the Segmentation, Targeting, and Positioning (STP) framework, a fundamental marketing model applicable across various business areas.
• 🏢 **B2C Business Model**: The datasets used are from B2C businesses, providing a richer data set for analysis due to the individual consumer focus.
• 🛒 **FMCG Data**: Fast-moving consumer goods (FMCG) companies, like supermarkets, provide abundant data due to frequent customer transactions, making them ideal for customer analytics studies.
• 🔑 **Segmentation Process**: Segmentation involves dividing customers into groups with similar characteristics and behaviors, which can predict their response to marketing strategies.
• 🎯 **Targeting Strategy**: Targeting is about assessing potential profits from each segment and deciding which to focus on, considering factors like segment size and growth.
• 🏷️ **Positioning and Marketing Mix**: Positioning involves determining product characteristics that meet segment needs and how to present and distribute these products, which is explored through the Marketing Mix framework.

Q & A

What is the main focus of a career in customer analytics?

A career in customer analytics focuses on using data to understand customers' needs and providing products that customers want to buy, as well as building analytics capabilities to deliver innovative customer experiences.

Why is understanding the customer so crucial in customer analytics?

Understanding the customer is crucial because it enables companies to tailor their offerings to meet customers' needs, which is key to creating, communicating, and delivering products and services effectively.

What does the 'KYC' acronym stand for in the context of customer analytics?

KYC stands for 'Know Your Customer,' which is a principle that helps companies create, communicate, and deliver offerings by tailoring them to their customers' needs.

What is the 'STP framework' in marketing?

The 'STP framework' stands for Segmentation, Targeting, and Positioning. It is a fundamental marketing framework that outlines the process of exploring potential customers and understanding them to tailor marketing strategies.

How does the segmentation process in customer analytics work?

Segmentation involves dividing a population of potential or existing customers into groups with similar characteristics, which are likely to have comparable purchase behaviors and respond similarly to marketing activities.

What types of characteristics do marketers use for segmentation?

Marketers use two broad groups of characteristics for segmentation: demographic and geographic data (like age, income, education level), and psychographic characteristics (like planned vs. impulsive buying behavior).

What is the purpose of targeting in the 'STP framework'?

Targeting involves evaluating the potential profits from each segment and deciding which segments to focus on, considering factors like segment sizes, expected growth, and competitors' offerings.

What does positioning involve in the context of the 'STP framework'?

Positioning involves determining the product characteristics that customers from a certain segment need and offering products with those characteristics, as well as deciding how to present and channel the product to the customers.

What is the Marketing Mix and how does it relate to positioning?

The Marketing Mix is a framework that details the specific elements a company uses to market a product, including product, price, place, and promotion. It is closely related to positioning as it helps in deciding how to present and sell the product to the targeted segments.

What type of business model does the course use as an example for customer analytics?

The course uses a B2C (Business-to-Consumer) business model as an example, specifically from a Fast-Moving Consumer Goods (FMCG) company, which is ideal due to the abundance of data available from daily consumer purchases.

What does the 365 Data Science program offer for those interested in a career in data science?

The 365 Data Science program offers a comprehensive set of data science courses to develop the full skillset for a data science job, including beginner-friendly courses on mathematics and statistics, and specialized courses like Time Series Analysis and Credit Risk Modeling.