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• Data Privacy in Business : A Risk Leading to Major Opportunities

  9 août 2022, par Erin — Privacy

  Data privacy in business is a contentious issue. 

  Claims that “big data is the new oil of the digital economy” and strong links between “data-driven personalisation and customer experience” encourage leaders to set up massive data collection programmes.

  However, many of these conversations downplay the magnitude of security, compliance and ethical risks companies face when betting too much on customer data collection. 

  In this post, we discuss the double-edged nature of privacy issues in business — the risk-ridden and the opportunity-driven. ​​

  3 Major Risks of Ignoring Data Privacy in Business

  As the old adage goes : Just because everyone else is doing it doesn’t make it right.

  Easy data accessibility and ubiquity of analytics tools make data consumer collection and processing sound like a “given”. But the decision to do so opens your business to a spectrum of risks. 

  1. Compliance and Legal Risks 

  Data collection and customer privacy are protected by a host of international laws including GDPR, CCPA, and regional regulations. Only 15% of countries (mostly developing ones) don’t have dedicated laws for protecting consumer privacy. 

  

  Global legislature includes provisions on : 

  • Collectible data types
  • Allowed uses of obtained data 
  • Consent to data collection and online tracking 
  • Rights to request data removal 

  Personally identifiable information (PII) processing is prohibited or strictly regulated in most jurisdictions. Yet businesses repeatedly circumnavigate existing rules and break them on occasion.

  In Australia, for example, only 2% of brands use logos, icons or messages to transparently call out online tracking, data sharing or other specific uses of data at the sign-up stage. In Europe, around half of small businesses are still not fully GDPR-compliant — and Big Tech companies like Google, Amazon and Facebook can’t get a grip on their data collection practices even when pressed with horrendous fines. 

  Although the media mostly reports on compliance fines for “big names”, smaller businesses are increasingly receiving more scrutiny. 

  As Max Schrems, an Austrian privacy activist and founder of noyb NGO, explained in a Matomo webinar :

  “In Austria, my home country, there are a lot of €5,000 fines going out there as well [to smaller businesses]. Most of the time, they are just not reported. They just happen below the surface. [GDPR fines] are already a reality.”​

  In April 2022, the EU Court of Justice ruled that consumer groups can autonomously sue businesses for breaches of data protection — and nonprofit organisations like noyb enable more people to do so. 

  Finally, new data privacy legislation is underway across the globe. In the US, Colorado, Connecticut, Virginia and Utah have data protection acts at different stages of approval. South African authorities are working on the Protection of Personal Information Act (POPI) act and Brazil is working on a local General Data Protection Law (LGPD).

  Re-thinking your stance on user privacy and data protection now can significantly reduce the compliance burden in the future. 

  2. Security Risks 

  Data collection also mandates data protection for businesses. Yet, many organisations focus on the former and forget about the latter. 

  Lenient attitudes to consumer data protection resulted in a major spike in data breaches.

  Check Point research found that cyberattacks increased 50% year-over-year, with each organisation facing 925 cyberattacks per week globally.

  Many of these attacks end up being successful due to poor data security in place. As a result, billions of stolen consumer records become publicly available or get sold on dark web marketplaces.

  What’s even more troublesome is that stolen consumer records are often purchased by marketing firms or companies, specialising in spam campaigns. Buyers can also use stolen emails to distribute malware, stage phishing and other social engineering attacks – and harvest even more data for sale. 

  One business’s negligence creates a snowball effect of negative changes down the line with customers carrying the brunt of it all. 

  In 2020, hackers successfully targeted a Finnish psychotherapy practice. They managed to steal hundreds of patient records — and then demanded a ransom both from the firm and its patients for not exposing information about their mental health issues. Many patients refused to pay hackers and some 300 records ended up being posted online as Associated Press reported.

  Not only did the practice have to deal with the cyber-breach aftermath, but it also faced vocal regulatory and patient criticisms for failing to properly protect such sensitive information.

  Security negligence can carry both direct (heavy data breach fines) and indirect losses in the form of reputational damages. An overwhelming 90% of consumers say they wouldn’t buy from a business if it doesn’t adequately protect their data. This brings us to the last point. 

  3. Reputational Risks 

  Trust is the new currency. Data negligence and consumer privacy violations are the two fastest ways to lose it. 

  Globally, consumers are concerned about how businesses collect, use, and protect their data. 

  

  • According to Forrester, 47% of UK adults actively limit the amount of data they share with websites and apps. 49% of Italians express willingness to ask companies to delete their personal data. 36% of Germans use privacy and security tools to minimise online tracking of their activities. 
  • A GDMA survey also notes that globally, 82% of consumers want more control over their personal information, shared with companies. 77% also expect brands to be transparent about how their data is collected and used. 

  When businesses fail to hold their end of the bargain — collect just the right amount of data and use it with integrity — consumers are fast to cut ties. 

  Once the information about privacy violations becomes public, companies lose : 

  • Brand equity 
  • Market share 
  • Competitive positioning 

  An AON report estimates that post-data breach companies can lose as much as 25% of their initial value. In some cases, the losses can be even higher. 

  In 2015, British telecom TalkTalk suffered from a major data breach. Over 150,000 customer records were stolen by hackers. To contain the issue, TalkTalk had to throw between $60-$70 million into containment efforts. Still, they lost over 100,000 customers in a matter of months and one-third of their company value, equivalent to $1.4 billion, by the end of the year. 

  Fresher data from Infosys gives the following maximum cost estimates of brand damage, companies could experience after a data breach (accidental or malicious).

  

  3 Major Advantages of Privacy in Business 

  Despite all the industry mishaps, a reassuring 77% of CEOs now recognise that their companies must fundamentally change their approaches to customer engagement, in particular when it comes to ensuring data privacy. 

  Many organisations take proactive steps to cultivate a privacy-centred culture and implement transparent data collection policies. 

  Here’s why gaining the “privacy advantage” pays off.

  1. Market Competitiveness 

  There’s a reason why privacy-focused companies are booming. 

  Consumers’ mounting concerns and frustrations over the lack of online privacy, prompt many to look for alternative privacy-centred products and services. 

  The following B2C and B2B products are moving from the industry margins to the mainstream : 

  • Private search engines (Duckduckgo)
  • Password managers (1password, Dashlane)
  • Online identity networks (id.me)
  • Web analytics solutions (Matomo) 
  • And secure messaging apps (Signal) among others 

  Across the board, consumers express greater trust towards companies, protective of their privacy : 

  

  And as we well know : trust translates to higher engagement, loyalty, and – ultimately revenue. 

  By embedding privacy into the core of your product, you give users more reasons to select, stay and support your business. 

  2. Higher Operational Efficiency

  Customer data protection isn’t just a policy – it’s a culture of collecting “just enough” data, protecting it and using it responsibly. 

  Sadly, that’s the area where most organisations trail behind. At present, some 90% of businesses admit to having amassed massive data silos. 

  Siloed data is expensive to maintain and operationalise. Moreover, when left unattended, it can evolve into a pressing compliance issue. 

  A recently leaked document from Facebook says the company has no idea where all of its first-party, third-party and sensitive categories data goes or how it is processed. Because of this, Facebook struggles to achieve GDPR compliance and remains under regulatory pressure. 

  Similarly, Google Analytics is riddled with privacy issues. Other company products were found to be collecting and operationalising consumer data without users’ knowledge or consent. Again, this creates valid grounds for regulatory investigations. 

  Smaller companies have a better chance of making things right at the onset. 

  By curbing customer data collection, you can : 

  • Reduce data hosting and Cloud computation costs (aka trim your Cloud bill) 
  • Improve data security practices (since you would have fewer assets to protect) 
  • Make your staff more productive by consolidating essential data and making it easy and safe to access

  Privacy-mindful companies also have an easier time when it comes to compliance and can meet new data regulations faster. 

  3. Better Marketing Campaigns 

  The biggest counter-argument to reducing customer data collection is marketing. 

  How can we effectively sell our products if we know nothing about our customers ? – your team might be asking. 

  This might sound counterintuitive, but minimising data collection and usage can lead to better marketing outcomes. 

  Limiting the types of data that can be used encourages your people to become more creative and productive by focusing on fewer metrics that are more important.

  Think of it this way : Every other business uses the same targeting parameters on Facebook or Google for running paid ad campaigns on Facebook. As a result, we see ads everywhere — and people grow unresponsive to them or choose to limit exposure by using ad blocking software, private browsers and VPNs. Your ad budgets get wasted on chasing mirage metrics instead of actual prospects. 

  Case in point : In 2017 Marc Pritchard of Procter & Gamble decided to first cut the company’s digital advertising budget by 6% (or $200 million). Unilever made an even bolder move and reduced its ad budget by 30% in 2018. 

  Guess what happened ?

  P&G saw a 7.5% increase in organic sales and Unilever had a 3.8% gain as HBR reports. So how come both companies became more successful by spending less on advertising ? 

  They found that overexposure to online ads led to diminishing returns and annoyances among loyal customers. By minimising ad exposure and adopting alternative marketing strategies, the two companies managed to market better to new and existing customers. 

  The takeaway : There are more ways to engage consumers aside from pestering them with repetitive retargeting messages or creepy personalisation. 

  You can collect first-party data with consent to incrementally improve your product — and educate them on the benefits of your solution in transparent terms.

  Final Thoughts 

  The definitive advantage of privacy is consumers’ trust. 

  You can’t buy it, you can’t fake it, you can only cultivate it by aligning your external appearances with internal practices. 

  Because when you fail to address privacy internally, your mishaps will quickly become apparent either as social media call-outs or worse — as a security incident, a data breach or a legal investigation. 

  By choosing to treat consumer data with respect, you build an extra layer of protection around your business, plus draw in some banging benefits too. 

  Get one step closer to becoming a privacy-centred company by choosing Matomo as your web analytics solution. We offer robust privacy controls for ensuring ethical, compliant, privacy-friendly and secure website tracking. 

• Linear Attribution Model : What Is It and How Does It Work ?

  16 février 2024, par Erin

  Want a more in-depth way to understand the effectiveness of your marketing campaigns ? Then, the linear attribution model could be the answer.

  Although you can choose from several different attribution models, a linear model is ideal for giving value to every touchpoint along the customer journey. It can help you identify your most effective marketing channels and optimise your campaigns. 

  So, without further ado, let’s explore what a linear attribution model is, when you should use it and how you can get started. 

  What is a linear attribution model ?

  A linear attribution model is a multi-touch method of marketing attribution where equal credit is given to each touchpoint. Every marketing channel used across the entire customer journey gets credit, and each is considered equally important. 

  So, if a potential customer has four interactions before converting, each channel gets 25% of the credit.

  

  Let’s look at how linear attribution works in practice using a hypothetical example of a marketing manager, Sally, who is looking for an alternative to Google Analytics. 

  Sally starts her conversion path by reading a Matomo article comparing Matomo to Google Analytics she finds when searching on Google. A few days later she signs up for a webinar she saw on Matomo’s LinkedIn page. Two weeks later, Sally gets a sign-off from her boss and decides to go ahead with Matomo. She visits the website and starts a free trial by clicking on one of the paid Google Ads. 

  Using a linear attribution model, we credit each of the channels Sally uses (organic traffic, organic social, and paid ads), ensuring no channel is overlooked in our marketing analysis. 

  Are there other types of attribution models ?

  Absolutely. There are several common types of attribution models marketing managers can use to measure the impact of channels in different ways. 

  

  • First interaction : Also called a first-touch attribution model, this method gives all the credit to the first channel in the customer journey. This model is great for optimising the top of your sales funnel.
  • Last interaction : Also called a last-touch attribution model, this approach gives all the credit to the last channel the customer interacts with. It’s a great model for optimising the bottom of your marketing funnel. 
  • Last non-direct interaction : This attribution model excludes direct traffic and credits the previous touchpoint. This is a fantastic alternative to a last-touch attribution model, especially if most customers visit your website before converting. 
  • Time decay attribution model : This model adjusts credit according to the order of the touchpoints. Those nearest the conversion get weighted the highest. 
  • Position-based attribution model : This model allocates 40% of the credit to the first and last touchpoints and splits the remaining 20% evenly between every other interaction.

  Why use a linear attribution model ?

  Marketing attribution is vital if you want to understand which parts of your marketing strategy are working. All of the attribution models described above can help you achieve this to some degree, but there are several reasons to choose a linear attribution model in particular. 

  It uses multi-touch attribution

  Unlike single-touch attribution models like first and last interaction, linear attribution is a multi-touch attribution model that considers every touchpoint. This is vital to get a complete picture of the modern customer journey, where customers interact with companies between 20 and 500 times. 

  Single-touch attribution models can be misleading by giving conversion credit to a single channel, especially if it was the customer’s last use. In our example above, Sally’s last interaction with our brand was through a paid ad, but it was hardly the most important. 

  It’s easy to understand

  Attribution models can be complicated, but linear attribution is easy to understand. Every touchpoint gets the same credit, allowing you to see how your entire marketing function works. This simplicity also makes it easy for marketers to take action. 

  It’s great for identifying effective marketing channels

  Because linear attribution is one of the few models that provides a complete view of the customer journey, it’s easy to identify your most common and influential touchpoints. 

  It accounts for the top and bottom of your funnel, so you can also categorise your marketing channels more effectively and make more informed decisions. For example, PPC ads may be a more common bottom-of-the-full touchpoint and should, therefore, not be used to target broad, top-of-funnel search terms.

  Are there any reasons not to use linear attribution ?

  Linear attribution isn’t perfect. Like all attribution models, it has its weaknesses. Specifically, linear attribution can be too simple, dilute conversion credit and unsuitable for long sales cycles.

  

  It can be too simple

  Linear attribution lacks nuance. It only considers touchpoints while ignoring other factors like brand image and your competitors. This is true for most attribution models, but it’s still important to point it out. 

  It can dilute conversion credit

  In reality, not every touchpoint impacts conversions to the same extent. In the example above, the social media post promoting the webinar may have been the most effective touchpoint, but we have no way of measuring this. 

  The risk with using a linear model is that credit can be underestimated and overestimated — especially if you have a long sales cycle. 

  It’s unsuitable for very long sales cycles

  Speaking of long sales cycles, linear attribution models won’t add much value if your customer journey contains dozens of different touchpoints. Credit will get diluted to the point where analysis becomes impossible, and the model will also struggle to measure the precise ways certain touchpoints impact conversions. 

  Should you use a linear attribution model ?

  A linear attribution model is a great choice for any company with shorter sales cycles or a reasonably straightforward customer journey that uses multiple marketing channels. In these cases, it helps you understand the contribution of each touchpoint and find your best channels. 

  It’s also a practical choice for small businesses and startups that don’t have a team of data scientists on staff or the budget to hire outside help. Because it’s so easy to set up and understand, anyone can start generating insights using this model. 

  How to set up a linear attribution model

  Are you sold on the idea of using a linear attribution model ? Then follow the steps below to get started :

  

  Choose a marketing attribution tool

  Given the market is worth $3.1 billion, you won’t be surprised to learn there are plenty of tools to choose from. But choose carefully. The tool you pick can significantly impact your success with attribution modelling. 

  Take Google Analytics, for instance. While GA4 offers several marketing attribution models for free, including linear attribution, it lacks accuracy due to cookie consent rejection and data sampling. 

  Accurate marketing attribution is included as a feature in Matomo Cloud and is available as a plugin for Matomo On-Premise users. We support a full range of attribution models that use 100% accurate data because we don’t use data sampling, and cookie consent isn’t an issue (with the exception of Germany and the UK). That means you can trust our insights.

  Matomo’s marketing attribution is available out of the box, and we also provide access to raw data, allowing you to develop your custom attribution model. 

  Collect data

  The quality of your marketing attribution also depends on the quality and quantity of your data. It’s why you need to avoid a platform that uses data sampling. 

  This should include :

  • General data from your analytics platform, like pages visited and forms filled
  • Goals and conversions, which we’ll discuss in more detail in the next step
  • Campaign tracking data so you can monitor the behaviour of traffic from different referral channels
  • Behavioural data from features like Heatmaps or Session Recordings

  Set up goals and conversions

  You can’t assign conversion values to customer journey touchpoints if you don’t have conversion goals in place. That’s why the next step of the process is to set up conversion tracking in your web analytics platform. 

  Depending on your type of business and the product you sell, conversions could take one of the following forms :

  • A product purchase
  • Signing up for a webinar
  • Downloading an ebook
  • Filling in a form
  • Starting a free trial

  Setting up these kinds of goals is easy if you use Matomo. 

  Just head to the Goals section of the dashboard, click Manage Goals and then click the green Add A New Goal button. 

  Fill in the screen below, and add a Goal Revenue at the bottom of the page. Doing so will mean Matomo can automatically calculate the value of each touchpoint when using your attribution model. 

  

  If your analytics platform allows it, make sure you also set up Event Tracking, which will allow you to analyse how many users start to take a desired action (like filling in a form) but never complete the task. 

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  Test and validate

  As we’ve explained, linear attribution is a great model in some scenarios, but it can fall short if you have a long or complex sales funnel. Even if you’re sure it’s the right model for your company, testing and validating is important. 

  Ideally, your chosen attribution tool should make this process pretty straightforward. For example, Matomo’s Marketing Attribution feature makes comparing and contrasting three different attribution models easy. 

  Here we compare the performance of three attribution models—linear, first-touch, and last-non-direct—in Matomo’s Marketing Attribution dashboard, providing straightforward analysis.

  

  If you think linear attribution accurately reflects the value of your channels, you can start to analyse the insights it generates. If not, then consider using another attribution model.

  Don’t forget to take action from your marketing efforts, either. Linear attribution helps you spot the channels that contribute most to conversions, so allocate more resources to those channels and see if you can improve your conversion rate or boost your ROI. 

  Make the most of marketing attribution with Matomo

  A linear attribution model lets you measure every touchpoint in your customer journey. It’s an easy attribution model to start with and lets you identify and optimise your most effective marketing channels. 

  However, accurate data is essential if you want to benefit the most from marketing attribution data. If your web analytics solution doesn’t play nicely with cookies or uses sampled data, then your linear model isn’t going to tell you the whole story. 

  That’s why over 1 million sites trust Matomo’s privacy-focused web analytics, ensuring accurate data for a comprehensive understanding of customer journeys.

  Now you know what linear attribution modelling is, start employing the model today by signing up for a free 21-day trial, no credit card required. 

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• 10 Customer Segments Examples and Their Benefits

  9 mai 2024, par Erin

  Now that companies can segment buyers, the days of mass marketing are behind us. Customer segmentation offers various benefits for marketing, content creation, sales, analytics teams and more. Without customer segmentation, your personalised marketing efforts may fall flat. 

  According to the Twilio 2023 state of personalisation report, 69% of business leaders have increased their investment in personalisation. There’s a key reason for this — customer retention and loyalty directly benefit from personalisation. In fact, 62% of businesses have cited improved customer retention due to personalisation efforts. The numbers don’t lie. 

  Keep reading to learn how customer segments can help you fine-tune your personalised marketing campaigns. This article will give you a better understanding of customer segmentation and real-world customer segment examples. You’ll leave with the knowledge to empower your marketing strategies with effective customer segmentation. 

  What are customer segments ?

  Customer segments are distinct groups of people or organisations with similar characteristics, needs and behaviours. Like different species of plants in a garden, each customer segment has specific needs and care requirements. Customer segments are useful for tailoring personalised marketing campaigns for specific groups.

  Personalised marketing has been shown to have significant benefits — with 56% of consumers saying that a personalised experience would make them become repeat buyers. 

  Successful marketing teams typically focus on these types of customer segmentation :

  

  1. Geographic segmentation : groups buyers based on their physical location — country, city, region or climate — and language.
  2. Purchase history segmentation : categorises buyers based on their purchasing habits — how often they make purchases — and allows brands to distinguish between frequent, occasional and one-time buyers. 
  3. Product-based segmentation : groups buyers according to the products they prefer or end up purchasing. 
  4. Customer lifecycle segmentation : segments buyers based on where they are in the customer journey. Examples include new, repeat and lapsed buyers. This segmentation category is also useful for understanding the behaviour of loyal buyers and those at risk of churning. 
  5. Technographic segmentation : focuses on buyers’ technology preferences, including device type, browser type, and operating system. 
  6. Channel preference segmentation : helps us understand why buyers prefer to purchase via specific channels — whether online channels, physical stores or a combination of both. 
  7. Value-based segmentation : categorises buyers based on their average purchase value and sensitivity to pricing, for example. This type of segmentation can provide insights into the behaviours of price-conscious buyers and those willing to pay premium prices. 

  Customer segmentation vs. market segmentation

  Customer segmentation and market segmentation are related concepts, but they refer to different aspects of the segmentation process in marketing. 

  Market segmentation is the broader process of dividing the overall market into homogeneous groups. Market segmentation helps marketers identify different groups based on their characteristics or needs. These market segments make it easier for businesses to connect with new buyers by offering relevant products or new features. 

  On the other hand, customer segmentation is used to help you dig deep into the behaviour and preferences of your current customer base. Marketers use customer segmentation insights to create buyer personas. Buyer personas are essential for ensuring your personalised marketing efforts are relevant to the target audience. 

  10 customer segments examples

  Now that you better understand different customer segmentation categories, we’ll provide real-world examples of how customer segmentation can be applied. You’ll be able to draw a direct connection between the segmentation category or categories each example falls under.

  One thing to note is that you’ll want to consider privacy and compliance when you are considering collecting and analysing types of data such as gender, age, income level, profession or personal interests. Instead, you can focus on these privacy-friendly, ethical customer segmentation types :

  1. Geographic location (category : geographic segmentation)

  The North Face is an outdoor apparel and equipment company that relies on geographic segmentation to tailor its products toward buyers in specific regions and climates. 

  For instance, they’ll send targeted advertisements for insulated jackets and snow gear to buyers in colder climates. For folks in seasonal climates, The North Face may send personalised ads for snow gear in winter and ads for hiking or swimming gear in summer. 

  The North Face could also use geographic segmentation to determine buyers’ needs based on location. They can use this information to send targeted ads to specific customer segments during peak ski months to maximise profits.

  2. Preferred language (category : geographic segmentation)

  Your marketing approach will likely differ based on where your customers are and the language they speak. So, with that in mind, language may be another crucial variable you can introduce when identifying your target customers. 

  Language-based segmentation becomes even more important when one of your main business objectives is to expand into new markets and target international customers — especially now that global reach is made possible through digital channels. 

  Coca-Cola’s “Share a Coke” is a multi-national campaign with personalised cans and bottles featuring popular names from countries around the globe. It’s just one example of targeting customers based on language.

  3. Repeat users and loyal customers (category : customer lifecycle segmentation)

  Sephora, a large beauty supply company, is well-known for its Beauty Insider loyalty program. 

  It segments customers based on their purchase history and preferences and rewards their loyalty with gifts, discounts, exclusive offers and free samples. And since customers receive personalised product recommendations and other perks, it incentivises them to remain members of the Beauty Insider program — adding a boost to customer loyalty.

  By creating a memorable customer experience for this segment of their customer base, staying on top of beauty trends and listening to feedback, Sephora is able to keep buyers coming back.

  

  4. New customers (category : customer lifecycle segmentation)

  Subscription services use customer lifecycle segmentation to offer special promotions and trials for new customers. 

  HBO Max is a great example of a real company that excels at this strategy : 

  They offer 40% savings on an annual ad-free plan, which targets new customers who may be apprehensive about the added monthly cost of a recurring subscription.

  This marketing strategy prioritises fostering long-term customer relationships with new buyers to avoid high churn rates. 

  5. Cart abandonment (category : purchase history segmentation)

  With a rate of 85% among US-based mobile users, cart abandonment is a huge issue for ecommerce businesses. One way to deal with this is to segment inactive customers and cart abandoners — those who showed interest by adding products to their cart but haven’t converted yet — and send targeted emails to remind them about their abandoned carts.

  E-commerce companies like Ipsy, for example, track users who have added items to their cart but haven’t followed through on the purchase. The company’s messaging often contains incentives — like free shipping or a limited-time discount — to encourage passive users to return to their carts. 

  Research has found that cart abandonment emails with a coupon code have a high 44.37% average open rate. 

  6. Website activity (category : technographic segmentation)

  It’s also possible to segment customers based on website activity. Now, keep in mind that this is a relatively broad approach ; it covers every interaction that may occur while the customer is browsing your website. As such, it leaves room for many different types of segmentation. 

  For instance, you can segment your audience based on the pages they visited, the elements they interacted with — like CTAs and forms — how long they stayed on each page and whether they added products to their cart. 

  Matomo’s Event Tracking can provide additional context to each website visit and tell you more about the specific interactions that occur, making it particularly useful for segmenting customers based on how they spend their time on your website. 

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  Amazon segments its customers based on browsing behaviour — recently viewed products and categories, among other things — which, in turn, allows them to improve the customer’s experience and drive sales.

  7. Traffic source (category : channel segmentation) 

  You can also segment your audience based on traffic sources. For example, you can determine if your website visitors arrived through Google and other search engines, email newsletters, social media platforms or referrals. 

  In other words, you’ll create specific audience segments based on the original source. Matomo’s Acquisition feature can provide insights into five different types of traffic sources — search engines, social media, external websites, direct traffic and campaigns — to help you understand how users enter your website.

  You may find that most visitors arrive at your website through social media ads or predominantly discover your brand through search engines. Either way, by learning where they’re coming from, you’ll be able to determine which conversion paths you should prioritise and optimise further. 

  8. Device type (category : technographic segmentation)

  Device type is customer segmentation based on the devices that potential customers may use to access your website and view your content. 

  It’s worth noting that, on a global level, most people (96%) use mobile devices — primarily smartphones — for internet access. So, there’s a high chance that most of your website visitors are coming from mobile devices, too. 

  However, it’s best not to assume anything. Matomo can detect the operating system and the type of device — desktop, mobile device, tablet, console or TV, for example. 

  By introducing the device type variable into your customer segmentation efforts, you’ll be able to determine if there’s a preference for mobile or desktop devices. In return, you’ll have a better idea of how to optimise your website — and whether you should consider developing an app to meet the needs of mobile users.

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  9. Browser type (category : technographic segmentation)

  Besides devices, another type of segmentation that belongs to the technographic category and can provide valuable insights is browser-related. In this case, you’re tracking the internet browser your customers use. 

  Many browser types are available — including Google Chrome, Microsoft Edge, Safari, Firefox and Brave — and each may display your website and other content differently. 

  So, keeping track of your customers’ preferred choices is important. Otherwise, you won’t be able to fully understand their online experience — or ensure that these browsers are displaying your content properly. 

  

  10. Ecommerce activity (category : purchase history, value based, channel or product based segmentation) 

  Similar to website activity, looking at ecommerce activity can tell your sales teams more about which pages the customer has seen and how they have interacted with them. 

  With Matomo’s Ecommerce Tracking, you’ll be able to keep an eye on customers’ on-site behaviours, conversion rates, cart abandonment, purchased products and transaction data — including total revenue and average order value.

  Considering that the focus is on sales channels — such as your online store — this approach to customer segmentation can help you improve the sales experience and increase profitability. 

  Start implementing these customer segments examples

  With ever-evolving demographics and rapid technological advancements, customer segmentation is increasingly complex. The tips and real-world examples in this article break down and simplify customer segmentation so that you can adapt to your customer base. 

  Customer segmentation lays the groundwork for your personalised marketing campaigns to take off. By understanding your users better, you can effectively tailor each campaign to different segments. 

  If you’re ready to see how Matomo can elevate your personalised marketing campaigns, try it for free for 21 days. No credit card required.

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