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Modeling

Segmentation Techniques

Segmentation is a time-tested approach for enhancing marketing success, allowing marketers to focus their attention and resources on the most compelling market opportunities.  A wide range of techniques are employed to create useful market segmentation frameworks, highlighting distinct segments that present unique opportunities based on distinctive behaviors, needs, demographics, or attitudes/mindset. 

Segmentation approaches can range from simple categorization analyses (including CART and CHAID analyses) to more sophisticated clustering techniques (K-means or latent class).  Complex multi-tiered or multi-faceted segmentations may require application of a combination of these methodologies.  As a technical innovation leader in the segmentation arena, National Analysts Worldwide has developed state-of-the-art segmentation methodologies that draw on, and enhance, each of these foundational techniques, providing the flexibility to create highly customized solutions for our clients.  What makes this customization possible is an in-house methods and analytics function directed by industry leaders who are able to innovate rather than simply apply off-the-shelf techniques.

Our Methods Department is supported by significant annual investments to create the intellectual capital on which leadership depends. The team closely monitors and contributes to ongoing industry dialogue and debate on different segmentation techniques based on a concerted R&D effort that systematically compares outcomes using alternative approaches.  Ultimately, however, segmentation success is propelled more by mature and creative marketing application than statistical underpinnings.  We take pride in segmentations that see active and effective use because they are tailored to each client’s objectives with a clear vision about the rationale for segmentation and the ROI it must deliver.

One of the novel segmentation services that we offer is Hyperdictive. It is an example of innovation that has helped to bridge the gap between theory and marketing application. Applying multi-criteria clustering techniques, Hypredictive enables us to adjust input weights with "joystick" flexibility in order to devise segmentation schemes that deliver marketing insight while also meeting stated requirements for classification accuracy and efficiency when assigning customers to the relevant segments.

All of our segmentation methodologies are suitable for a wide range of market applications and yield results that can be readily integrated into our suite of segmentation implementation support applications.

For more information on National Analysts Worldwide, please e-mail us or call (215) 496-6800.