Database Segmentation and Variable Data Printing: How to Improve Customer Lifetime Value

There’s no silver bullet that instantly connects you with high value customers. The next best thing is database segmentation.

Broadly speaking, segmenting your database is the analysis and slicing of your customer list into groups of customers who behave the same way. These are groups of people with shared characteristics. It’s not rocket science, but it can have a significant impact on how you allocate your marketing resources. Segmentation gives you the biggest bang for your buck.

Segmentation allows you to identify your most profitable customers, isolate customers who have the potential to become highly profitable but aren’t quite there yet, identify marginal customers with neither high value nor high potential, and separate out unprofitable customers.

Armed with this knowledge, you have the power to target each segment with a timely, relevant message that can move them up the value ladder. In the case of unprofitable customers, you won’t want to waste your marketing resources on them at all.

The amount and quality of the data you collect from your customers has a direct bearing on your ability to treat different customers differently. You’ve heard the term “garbage in, garbage out.” It simply means that accurate name, address and transactional information is a prerequisite for effective direct marketing.

Ultimately, the reason to collect data and segment your customer database is to influence customer behavior. You need to be able to turn your analytical information into action that will enhance lifetime value.

New advancements in variable data printing allow you to send each customer truly personalized communications in full color. Mailmark is one of the first in the country to market this advanced technology.

Combining powerful database segmentation analytics with this unparalleled new tactical execution capability can mean up to a five fold increase in response, according to a recent Digital Printing Council White Paper.

Imagine getting a direct mail piece showing your make and model car, your name on the license plate and a full color, fully personalized relevant offer for car care right when you need it most. The power of full color variable data printing is limited only by your imagination.

No two customers are the same. Armed with the latest technology, Mailmark can make sure they see truly personalized 1 to 1 communications.