What happened to strategic segmentation

Abstract

Segmentation that combines insight with descriptive, predictive and operational capability represents the most complete and powerful capability for marketers, when achievable, and therefore a gold standard. However, the author notes a trend towards simpler, limited modes. These tend to isolate capabilities, such as descriptive market segmentation, or predictive analytics for targeting tactical campaigns, or real-time black-box behavioural algorithms, such as collaborative filtering and next best action. The author suggests this is brought about by failures in technique, process or imagination, giving typical causes, and posits a simple test of effectiveness self-audit for organisation decision-making. © 2009 PALGRAVE MACMILLAN.