Clustering is a data science technique that consists of differentiating and grouping clients or prospects in a database based on their similarities. This procedure uses mathematical algorithms to identify hidden patterns in the data and group different people automatically.
Do you want to know your customers and give them what they really need? Then clustering is what you need. In this article we tell you how to implement it in your business and all the benefits it has.
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Differences between clustering and audience or customer segmentation
Before we get into the subject, it is important to be clear about two concepts. Perhaps when reading the definition of clustering, it may have sounded familiar to you and reminded you of another technique known in marketing as audience segmentation. And this is normal, since both consist of grouping clients or potential clients according to their characteristics. However, the approach is somewhat different.
The main difference between these two techniques is precision. Unlike audience segmentation, clustering uses mathematical criteria and data science or machine learning , which allow groups to be kept constantly updated so that the information they provide is much more useful for the brand.
In addition, clustering also allows us to group our audience according to more complex variables such as interests, motivations or purchasing behaviour. But not only that, it also allows us to make less intuitive groupings according to non-predefined criteria, which allows common elements to come to light that the human eye cannot detect.
That said, clustering is often used as a complement to absence or customer segmentation , and is seen as a further step in refining already established consumer profiles. Clustering allows for the identification of important data that would not have been possible without this method.
Importance of clustering in digital marketing
Let’s get down to business! Why should you implement clustering in your company? First of all, it is a technique that, if you combine it with segmentation, will allow you to make more precise groupings of your audience. This will make it easier for you to create a more appropriate and effective message for each buyer persona special database and get to know your audience better, as well as better target your marketing campaigns to generate better results.
On the other hand, clustering will bring new customer segments before your eyes that you were not aware of, thus revealing new market niches and opportunities that you may not have known about. This, in turn, will make it easier for you to create new products and services for these segments or to improve existing ones.
Clustering is also very useful for customer service teams, who will get to know their customers and leads better and offer them a better experience.
Finally, clustering is an interesting technique to identify trends in your market niche and get ahead of them, thus obtaining a competitive edge.
Benefits of clustering
- Gain a deeper understanding of the different why consider an optinMonster alternative? types of audiences your brand has.
- Identify the behavioral patterns of each audience.
- Design more successful strategies, being able to improve existing ones or complement them.
- Prioritize customers and focus attention on those actions that are most likely to build loyalty or increase sales rates.
- Attract new customers.
- Increase customer retention .
- Being able to give customers what they really need.
- Achieve faster, more accurate and precise analysis.
- Strengthen your relationship with your customers
- Improve the experience that taiwan lists audience effectively customers have when interacting with your brand.
Types of clustering
The existence of different types of clustering is due to the variety of algorithms that exist. In this sense, each data set has its own characteristics that make one algorithm more appropriate than others to perform the clustering.