Behavioral Segmentation

Market Segmentation
Knowledge Center


Shyam Paliwal
Student (MBA), India

Behavioral Segmentation

Behavior of people is important from the perspective of both companies and people.
  • Humans interpret other humans based on their behavior and determine our fondness or friendliness upon it.
  • Similar tactics are adopted by companies to decide upon their target audience based on their behavior. Once the behavior is identified then it becomes easy to target the user. While sponsoring a product on Facebook, brands or companies sort out their audience based on their behavior.
Behavioral Segmentation (BS) is in marketing the approach or process of dividing the total market into smaller homogeneous groups or even individual persons based on the (buying) behavior of customers or prospective customers.
Companies can apply BS both online and offline. For example, Amazon uses BS to recommend products and music apps analyze users' behavior to recommended other songs. Customized Google ads visible on the videos we watch is also a form of BS. Artificial intelligence distinguishes target audiences based on their behavior like watching a particular video or a channel we subscribe to or a website we visit. AI takes time to learn the behavior of a person and then starts showing results based on person behavior.
Today it has become easy for a business to collect user data and track user behavior. Due to digital tools like apps and websites companies can track the activities of customers like the source that drove a customer to the website, the product he or she added into the cart and past experiences.

A customer can be segmented based on follower behaviors among others:
  • Usage and Consumption of a product/service
  • Purchasing behavior
  • Timing or Occasion
  • Customer Loyalty
  • Status
  • Benefits sought
  • Buyer journey stage
Here are the typical processes and methods that are being used in BS:
  • Tracking activities over various websites and apps
  • Analyzing this data in order to understand the customer behavior, like what his specific needs are
  • Retargeting
  • Location-based
  • Price by device
  • Complimentary products
  • Product suggestions or recommendation


Shyam Paliwal
Student (MBA), India

Examples of How Human Behaviour is Tracked and Used

Behavioural segmentation can generate considerable benefits for the companies using it. It is a powe... Sign up

Maurice Hogarth
Consultant, United Kingdom

Segmentation Forms

So is this an alternative to or an addition to (what I would [now] think of as the traditional appro... Sign up

Jaap de Jonge
Editor, Netherlands

Behavioral Segmentation is 1 of 5 Ways of Segmentation

@Maurice Hogarth: Yes, as the summary of "Market Segmentation" mentions there are 5 main ways or bas... Sign up


More on Market Segmentation:
Discussion Topics
Disadvantages of Segmentation
Disadvantages of Demographic Segmentation
Forward and Backward Segmentation
Is Segmentation of Taxpayers Possible?
Segmentation Examples
Industrial Segmentation Variables | B2B Segmentation
🔥 Marketing Implications of Generation Z
Segmentation and Marketing Mix
👀Behavioral Segmentation
Conditions for a Segment
Market Segmenting Process
Market Segmentation and Target Marketing
Ideas for Demand Segmentation based on the Total Need for a Product
Segmentation Requirements
Target Groups of Puma
Trading Market Analysis
Special Interest Group

Do you know a lot about Market Segmentation? Become our SIG Leader

Market Segmentation
Knowledge Center

About 12manage | Advertising | Link to us / Cite us | Privacy | Suggestions | Terms of Service
2023 12manage - The Executive Fast Track. V16.1 - Last updated: 8-6-2023. All names of their owners.