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What is Customer Data Segmentation?

Customer data segmentation is the process of grouping your users according to specific characteristics and behaviours. Learn how you can use segmentation.

Customer data segmentation is the process of grouping your users according to specific characteristics and behaviours.

It would be impossible to serve all of your customers as individual users! But thanks to intelligent customer segmentation, you can support users at scale while still retaining a personal touch.

You can also use this data to build out your Ideal Customer Profile (ICP) and optimise your marketing efforts accordingly. We like to use a mix of Jobs To Be Done, customer personas, and behavioural segmentation to build out our ICP.

Key types of customer data segments for SaaS businesses:

  • Sociodemographic – this includes user characteristics, such as age, gender and education.
  • Psychographic & Geographic – this includes other user characteristics such as personal interests and physical location.
  • Behavioural – this focuses on user habits and frequent actions.
  • Needs & Values – what pain points are your users trying to solve? What do they want to achieve with your product? This comes in many different forms; our favourite is Jobs To Be Done.

How do you gather the data to segment your users?

The first challenge to better understanding your users is to put the right tools in place to capture the data. The best channels to collect user data include:

Lead Capture Forms

Forms often work best when positioned in front of gated content. If you are offering a Lead Magnet, such as an eBook or webinar, place a lead capture form in front of it to receive users’ email addresses in return. You can also request additional information; just be careful not to be too demanding or risk users quitting the page.

To see an example of lead capture forms, check out our demo video of GoSquared Forms.

Live Chat

Live Chat tools provide another channel to collect customer data. If a new visitor to your site has any questions about your product, they can engage with your Live Chat widget to speak to your team. Many Live Chat tools offer settings to make email address input obligatory, so you can capture your users’ data when they start conversations.


Tools such as FullContact can enrich your user data all from an email address. FullContact will collate data from all associated social media profiles. As a result, you can find detailed information such as their company position, LinkedIn profile, and Twitter handle, just from knowing your visitor’s email address. At GoSquared, we use FullContact to enrich all user profiles with their associated social media information.

Manual updates

Don’t forget; you can add data manually too! The best CRM tools offer the ability for team members to fill out user profiles manually with additional details. This means your Sales team can add any information from their demo calls, and your CS team can add notes from their onboarding sessions. Feedback from your customers in their own words can be incredibly useful in defining your user segments, particularly those based on Needs & Values.

What are the benefits of Customer Data Segmentation?

Being able to act personally at scale is the truest benefit of segmenting your customers. This is especially true when you build in segmentation by activity and actions, not just demographics. Most SaaS businesses don’t want to build out large sales teams to move prospective customers through their funnels manually. It’s just not practical, but luckily, this is one of the core problems that led to the creation of great segmentation tools. So what can you do with this superpower?

Send targeted Marketing

Knowing your user-base intimately, and dividing them into relevant segments, enables you to send highly targeted and personalised Marketing messaging. This allows you to operate at scale while still retaining a personal touch.

For example, at GoSquared, you can use Automations to send Nurture sequences to segments of new Leads. You could send relevant material based on your new visitors’ preceding interactions with your sales material. If they’ve downloaded an eBook, you could send them a follow-up message offering a link to a relevant Webinar, and a message after that to offer a demo call to the Webinar attendees.

Mitigate churn

Behavioural analytics allows you to create customer segments to identify users displaying leading indicators of churn. You could filter according to key features of your product, which new clients have not yet activated.

You can then proactively reach out to these segments and offer refresher training sessions with your CS team. Help the clients get set up properly, and mitigate the churn risk.

Identify super-users

By analysing key activation features and engagement times, you can discover the super-users within your client base. These users can then be reached out to and converted into product advocates via referral programs. This can lead to a reduction in marketing spend and an increase in lead to customer conversion rates.

Get segmenting!

Intelligent customer data segmentation is crucial for SaaS businesses to operate their Growth and Customer Success functions at scale. Once you have the right tools in place to collect your customer data, you can then segment them into the correct groups and engage with them accordingly.

Click here to find out how GoSquared’s People Analytics will enrich your customer data, intelligently segment your users into Smart Groups, and send highly targeted Automations 👈.

Written by
Chris is our Customer Support Associate at GoSquared and is here to share everything he knows about keeping your customers happy!

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