fragmented markets
...eatly in value and behaviour—regarding the products they buy, the frequency with which they make purchases, the amount they spend, and their needs for service and support. By identifying unique customer fragments and tailoring customer care to specific constituencies, companies can foster greater loyalty and increase profit potential across all customer groups. Although customers within fragments generally share similar needs and characteristics, each fragment varies greatly from other customer fragments. Traditional fragmentation is based on demographic, firmographic, attitudinal, and psychographics attributes. Value-based fragmentation focuses on the revenue generated by customers; the cost to acquire, service, and retain customers; and the resulting profitability of customers. Once companies have identified customer fragments, they can use them to develop distinct marketing campaigns, retention programs, product...