Targeting Customer Segments with Discounts & Coupons


Customer segmentation or customer clustering refers to splitting a company’s customers into groups that have common interests within their classification in which it emphasizes the value of each customer to the business by discussing how to relate the customers in each segment.

This is an effective way to understand the archetype or persona of the people whom you are dealing with in specific detail, including where they live, their age, relationship status, etc. Moreover, you will be able to determine and evaluate who is interested in your products that will lead to more sales in the business.

The company is required to gather specific information and data about the customers to analyze the various patterns that can be used to create segments. The company can gather some of that in different ways, and one of the successful methods is by using discounts and coupons.

In this article, we have created a thorough guide that will help your company grow by using the method of targeting customer segments with discounts and coupons.

Segmenting Process

It is critical to have the database of every client’s information for you to evaluate the similarities of the people you are segmenting. Grouping your customers by using their personal information like their age, sex, address, interests, spending habits, etc. will do but you can also group them based on their transactions like from formed frequent purchases, the number of coupons redeemed, or their about to be first time purchase.

Dividing your customers to their similarities is key to getting more sales with satisfied customers. Another element you should take care of is creating promotions and advertisements that are specifically for each segment since each segment is composed of different people with the same interests that is not the same from other segments.

Always focus on the goal that is to create the perfect advertisement and promotional offer to the targeted segments. This greatly helps you develop the ideal discount and coupons.

Offer Promotional Offers and Discounts

As head of your company, you will need to calculate the statistics and create offers and discounts that will attract customers in your segments. This way, they will find your discounts and coupons hard to resist. For consumers, they will most likely seek the best deals since it is one of their ways to determine how versatile your company and services are.

Keep in mind that thinking and formulating these advantages for you and your customers is no easy task. A successful campaign will definitely boost up sales and engagement in your business. However, if done incorrectly, your business might get badly affected, and sales will drastically go down as well.

Disseminating the Discount and Coupons to each Segment

After dividing your customers and developing the discount and coupons, you are ready to move to the next part, which is to disseminate or let them avail of your offers that are specifically for their segment. Each promo is designed and created for them. So, they are more likely to grab that opportunity instead of letting it slip away. 

Keep in mind also that each group uses different social media applications. Based on Amid Chowdry’s article in Forbes, teenagers prefer Instagram as opposed to adults who go for Facebook. Manage your offers wisely to be readily available no matter what social media platform your customers are using.

Company Transparency

As the one who created the discounts and coupons, offer live help or services to address the customer concerns. Some people will likely want some questions answered or want something to clarify before they grab what you are offering. A team for service support will be highly appreciated and commended by your customers especially if your team replies immediately. This will leave good feedback on your company and get more people interested in your amazing offers.

It cannot be denied that customers appreciate live chat rather than a chatbot to reply to them, mainly because of how fast the response time it is from live chat support,  but if you can assess their concerns in just a short amount of time without using a chatbot then that is still commendable.

Important Tips

Customers do not exist to buy, but rather it is you who exist for them, which is why it is important to always focus on the objective. This way, your company can better understand your customers’ preferences and needs. Customer segmentation ultimately helps businesses maximize their profits and effectively allocate marketing resources. Moreover, it can also improve customer ratings or feedback and foster customer loyalty.

The best discounts and coupons are irresistible to your customers, especially for the reason that they are suitable for them. Before you target your customer segments with discounts and coupons, assure your customers that they are getting the best deals from you and to achieve that, your promotions and advertisements must be authentic and perfect for the customers in each segment you are offering those to.