Creating Segmentation and Personalisation Strategy with CRM


The modern business landscape is rapidly changing, and customer demands are evolving at a breakneck pace. To stay ahead of the competition, businesses must continually innovate and adapt to the needs of their customers. One effective way to achieve this is through segmentation and personalisation strategies, which are critical components of any successful CRM approach.  

Customer Relationship Management (CRM) systems have revolutionised the way businesses interact with their customers. With the power of data analytics, companies can understand their customers better, anticipate their needs, and personalise their offerings. One effective way to achieve this is through segmentation and personalisation strategies.


Segmentation is the process of dividing a large customer base into smaller groups based on common characteristics. This process allows businesses to tailor their offerings to specific customer segments, making their marketing efforts more effective. Some examples include gamers, family, shoppers, travellers, reward seekers, and many more. CRM systems provide the necessary data to segment customers based on various criteria such as demographics, behaviour, and interests.

The first step in creating a segmentation strategy is to identify the key criteria that define your customer base. For example, if you run an online store, you may want to segment your customers based on their purchasing history, geographic location, and product interests. Once you have identified the segments or customer personas, you can create targeted marketing campaigns to reach each group. 

For instance, Spotify, the music streaming service uses segmentation to create personalised marketing campaigns. The company segments its users based on their listening habits and preferences and creates targeted campaigns to promote specific artists, genres, or playlists. 

Likewise, Amazon, the eCommerce giant, also uses data analytics to segment its customers based on their purchase history, behaviour, and preferences. By doing so, it can provide customised recommendations and promotions for each customer.   

Similarly, Netflix, the popular streaming giant uses segmentation to create targeted marketing campaigns. For example, the company segments its customers based on their viewing habits and ad preferences to create targeted campaigns and promote specific shows or genres.



Personalisation takes segmentation to the next level by tailoring marketing efforts to individual customers. By using the data collected in CRM systems, businesses can create highly personalised experiences that are tailored to each customer's unique needs and preferences. Personalisation can include customised recommendations, product suggestions, and promotions.

To create a personalisation strategy, you must first understand your customer's preferences and interests. This can be achieved by collecting data on their behaviour, such as what they have purchased in the past or what pages they have visited on your website. CRM systems provide a wealth of information that can be used to create highly personalised experiences for customers. 

Once you have identified customer preferences, you can use this information to create personalised marketing campaigns. For example, you can send targeted emails to customers based on their interests or offer personalised promotions based on their purchase history. By providing a highly personalised experience, businesses can improve customer satisfaction and loyalty. 

Case in point: Spotify uses data analytics to personalise its offerings for its customers. Spotify's algorithms analyse users' listening habits and preferences to create customised playlists and recommendations. By doing so, it provides a highly personalised experience for its users, leading to increased customer satisfaction and loyalty. 

Amazon uses personalisation to improve its customers' shopping experience. The company uses customers' browsing history and purchase behaviour data to create personalised product recommendations and offers. Not only does this provide customers personalised experience but also drives customer loyalty and repeat business. 

In a similar fashion, Netflix uses data analytics to create highly personalised experiences for its customers. With customers' viewing history and preferences data at hand, Netflix can analyse this data and recommend customised movies and TV shows.


Boost customer engagement, loyalty, and retention

By leveraging the power of CRM systems, businesses can segment their customers based on various criteria and create highly personalised experiences that meet the unique needs of each customer. With the right segmentation and personalisation strategy in place, businesses can increase customer satisfaction, drive sales, and build long-term relationships with their customers. 

The case studies of Spotify, Amazon, and Netflix are perfect examples of how segmentation and personalisation strategies can be successfully implemented through CRM. By creating highly personalised experiences for their customers, these companies have gained a competitive advantage in their respective markets. 

In today's fast-paced business environment, businesses must continually innovate and adapt to stay ahead of the competition. A segmentation and personalisation strategy with CRM is an excellent way for businesses to meet their customers' ever-changing needs and gain a competitive edge.


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