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Customer Segmentation in CRM

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Customer Segmentation in CRM
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A customer relationship management (CRM) tool is used to manage business contacts and access important information/ communication related to those contacts. It is used to enhance the marketing, sales and customer service efforts with automation of tasks and performance analysis through interactive dashboard. CRM for marketing and sales helps professionals leverage social branding, optimized segmentation and targeting, cross-selling and up-selling, building strong customer relationship, and tracking and analysis. Statistics say that with CRM, companies can boost their conversion rates by 300% and achieve 27% customer retention.

The Most Important Feature of CRM

Even the best of marketing strategy can fall into pieces if you use on-size-fits all approach. Marketing is a creative field and it is important to personalize your strategies as per the audiences sharing similar attributes. Some of your campaigns might perform well within some customer categories, while other might end up unsubscribing/ blocking you. Customer segmentation, on the other hand, will created a targeted group of customers sharing same interests/ behaviors. This feature will help you communicate with your audiences better.

With a segmented marketing campaigns, companies can experience 760% of revenue increase. While selecting a customer segmentation tool, you might want to consider a few features:

    • It should be able to integrate data from multiple sources and understand that data to help you save additional cost of investing in another tool.
    • The system should be able to present the data in a simplified format that can be easily exported and read by other software.
    • It is important that when you select the customer segmentation tool, you don’t look at its benefits just for the moment, but 5 years from now. Your business will grow and so your customer lists. Hence, it is important to have a system that is flexible and scalable.
  • The cost factor should always be considered before you plan out the adoption of the tool. It might not be necessarily true that the expensive systems will give you best output, but cheaper systems could be less robust. Therefore, depending upon your requirements and database, it is better to contact a few vendors offering relevant solutions and then registering for a trial version to make better decisions.

A CRM system goes beyond just the customer segmentation feature. It is a complete customer relationship management package. It will help your marketing and sales teams manage customer database generated through organic/ promotional activities, create segmentation and measurable campaigns, build workflows, ensure better lead scoring and tapping in the most relevant opportunities.  A CRM will also have a customer service module that will help executives get complete customer background with the previous communication log to serve them better.


Sage CRM is easy integrate with flexible deployment options. It allows social media integration, which helps you get the important information about your audiences through social media channels onto a single dashboard.

Also Read: Create better marketing campaigns with Sage CRM


Without a customer segmentation tool, your marketing efforts will fall through cracks. It is important to divide your customer database into targeted segments to address their common interests/ behaviors with a personalized approach. Sage CRM along with customer segmentation offers multiple other features that will help companies acquire new leads and retain the existing ones too.

To know how Sage CRM will help you avoid email marketing blunders and delight your customers, contact us here. You can also write to us at for a FREE demo or consultation.

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