Abstract:

This paper details how to marry the science of segmentation with the art of understanding the organization's business to deliver actionable and usable insights. It discusses why science or statistics alone are necessary but not sufficient to provide an actionable segmentation solution. The paper also demonstrates an alternate analytical approach to avoid some of the common pitfalls of segmentation studies that arise through the use of standard factor-cluster approaches. Though the paper focuses on segmentation, it has broader application by demonstrating best practice in how to balance the use of statistical techniques to deliver usable insights. Successful insight activation through an effective, continued dialogue between research and the business, is also highlighted in the paper.