Donald's presentation was delightfully entertaining, engaging, and motivating. . . the evening was filled with laughter and enjoyment. As a direct result of a very satisfied audience, four members of the audience stepped up to volunteer their time and skills to the Dallas Section ASQ. Thank you, Donald!

Kiami Rogers, Chair, American Society for Quality Dallas Section 1402


Customer Segmentation

Customer Segmentation divides the market into separate customer groups that share similar characteristics. The business can then customize products and services to groups that are most likely to buy them. Customer Segmentation is a way to identify unmet customer needs and underserved segments of the market. Prioritizing and focusing on customer segments gives companies the ability to develop powerful marketing and pricing strategies to maximize the allocation of resources for marketing, product development and delivery mechanisms.

We conduct market research on customer groups based on the following techniques:

  • Demographic — who they are (age, occupation, gender, etc.)
  • Behavioral — what they do (how many transactions in a year, how many different services or products used)
  • Psychographic — what they think (risk tolerance, time spent on purchase, level of sophistication, etc.)


  • Prioritizes resources for new product and service development
  • Gives direction for customized marketing programs;
  • Provides basis for designing product and service features
  • Creates best distribution strategies
  • Determines product and service pricing strategies


  • Decide which of organization’s strategies would benefit from customer segmentation
  • Identify and rank customer groups according to their profitability and financial impact on the business—revenue, profit margin, and cost of serving segment
  • Conduct market research on customer groups
  • Determine, based on research, which factors are most important to the customer’s decision to buy product or service
  • Create new customer groups based on customers’ needs, preferences, their past behaviors or their demographic profiles
  • Create marketing strategies for each customer group
  • Allocate resources to customize product, service, marketing, and distribution programs to each target segment
  • Create a system for measuring performance of each segment
  • Adjust the segmentation approach over time as market conditions change

Would you like to discover the power of segmenting your customers? Let’s Talk