Business Knowledge

Customer Analytics: Core Concepts

Understanding Your Customers: Key Concepts

Unlock the power of data to truly know your customers.

1. Segmentation:

  • Group customers by shared traits (e.g., demographics, behavior, needs).
  • Why: Allows for targeted messages instead of one-size-fits-all.

2. Customer Lifetime Value (CLV):

  • The total profit a customer is expected to bring over their relationship with you.
  • Why: Helps you decide how much to spend acquiring and retaining customers.

3. Churn Analysis:

  • Identify customers at risk of leaving.
  • Why: Enables proactive interventions to keep valuable customers.

4. Personalization:

  • Tailor offers, content, and experiences to individuals.
  • Why: Increases relevance, engagement, and conversions.

5. Customer Journey Mapping:

  • Visualize every touchpoint a customer has with your brand.
  • Why: Spot pain points and opportunities to improve their experience.

Golden Rule: Don’t just collect data, use it to build better relationships and drive business results.