Because people are at the core of business design, customer segmentation is needed to deliver meaningful solutions. Contrary to common beliefs, big chunks of data don’t equal better insights – here’s an example why.
A while back, a client of ours hired an external agency to conduct large quantitative surveys in order to get their hands on large-scale customer segments. Simultaneously, we conducted our own segmentation at a smaller scale. And the outcomes didn’t match. The customer segments, created by large surveys, didn’t match the behaviors we synthesized through interviews and digital experimentation, observing real in-market behavior.
When companies hire agencies with the sole purpose of delivering customer segmentation, they invest millions in surveys that collect information from thousands of people around the world – this still doesn’t guarantee reliable results. How is this possible?
Strategies backed up by hard data are a must. But it doesn’t matter how many people you get information from. In the end, it comes down to how you do it. If flawed, even the largest surveys will produce inconclusive results.
