How Using Customer Segments Can Boost Your Store’s Revenue

by Amir Levi 11.Mar.2021 6 min read Views
Customer segments
Amir Levi

Apple’s recent iOS 14 update presents real challenges for e-commerce businesses looking to connect with new customers and expand their commercial reach. Facebook’s proposed changes are based on activities that either hinder or prevent e-commerce store owners from tracking consumer behavior or collecting important data.

According to Facebook:
“The average small business advertiser stands to see a cut of over 60% in their sales for every dollar they spend.”

That’s a pretty devastating loss. This jarring shift in policy does raise concern—but there’s a way to turn this crisis into an opportunity. Using your store’s data insights, you can use customer segments to develop targeted marketing plans that will drive more revenue to your business. And, we’re going all about it. Let’s go.

What Are Customer Segments?

Customer segments are different groups of your customer base categorized according to demographics, preferences, or characteristics based on your store’s data. You could, for example, segment your audience based on whether they are repeat customers or customers with a high average order value (AOV). You can also segment customers based on age, location, occupation, or even personal interests.

What Are The Benefits Of Customer Segments?

Now that you understand the concept of customer segments, let’s look at the benefits.

Creating targeted messaging

Lost Customers

By segmenting your customers, you can create campaigns or brand messaging that engage and inspire specific members of your audience. 88% of US marketing leaders reported measurable marketing campaign improvements by personalizing their messaging. Consumers expect brands to offer genuine personal value in the digital age—and customer segments are an effective way to do just that.

Learn your strengths & weaknesses

customer KPI

By segmenting your customers using your store’s data, you will gain a wealth of insight into your business’s core strengths and weaknesses. You might, for instance, find that your repeat customers make up just 13% of your overall audience, but generate 43% percent of the revenue. In this case, you can build on your existing messaging to continue driving revenue from your repeat customers while creating a tailored campaign that appeals to a segment of your audience that generates the least income.

Developing ready-made Facebook & Google audiences

Customer segments will also empower you to create ready-made audiences for your Facebook and Google advertising campaigns. Using your store’s data to create effective customer segments, you will need to rely on Facebook Pixel insights far less. Doing so will give you the tools and independence to create powerful targeted marketing campaigns consistently, boosting your store’s revenue in the process.

Developing ready-made Facebook & Google audiences

Create dedicated and highly targeted marketing campaigns

Repurchase Frequency

Another significant benefit to the use of Customer Segments is targeting your marketing and advertising audiences more accurately. For example, if you want to increase the frequency of purchases by repeat customers, you can target customers with low repurchase frequency and offer them products that are purchased more frequently.

Moreover, you can retrieve lost customers (who didn’t make any purchase recently) and target them to increase your repeat customers’ revenue.


While customer segmentation is a powerful means of growing your audience and boosting your store’s revenue, it can prove time-consuming. Segmenting your customers effectively also requires advanced technology as well as analytical skills. Manually creating customer segments also requires continual updates to ensure your insights remain relevant and yield consistent results.

But, there is a solution. AdScale enables you to generate custom-made as well as ‘lookalike’ audiences based on your customer segments while syncing and updating them dynamically. Not only will this save you untold amounts of time on Facebook Pixel, but our accessible platform will help you drive increased revenue to your store on a regular basis. A win-win.

To find out more about who we are and what we do, get in touch. We’ll be happy to answer any of your questions.

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