--- title: Guide to Customer Segmentation | Types & How To | Datamine description: Customer segmentation is the process of segmenting your customers based on shared characteristics. Discover how this can support business goals in Datamine’s guide. image: https://www.datamine.com/hubfs/Datamine%20Guide%20PDFs/Datamine%20Guide%20to%20Customer%20Segmentation%20cover%20web.png --- [![Datamine](https://www.datamine.com/hs-fs/hubfs/Imported_Blog_Media/Logo-for-website-white-01.png?width=417&name=Logo-for-website-white-01.png "Datamine")](https://www.datamine.com/) - [Working together](https://www.datamine.com/how-to-drive-commercial-growth-with-data-analytics-and-ai-datamine) - [How we work together](https://www.datamine.com/how-to-drive-commercial-growth-with-data-analytics-and-ai-datamine) - [Our Workshops](https://www.datamine.com/envisaging-and-development-workshops) - [Our Pricing](https://www.datamine.com/how-much-does-data-analytics-and-ai-cost) - [Solutions](https://www.datamine.com/oursolutions) - [Case Studies](https://www.datamine.com/industryexpertise/case-studies) - [Retail](https://www.datamine.com/industryexpertise/case-studies/retail) - [FMCG](https://www.datamine.com/industryexpertise/case-studies/fmcg) - [Travel](https://www.datamine.com/industryexpertise/case-studies/travel-tourism) - [Not for Profit](https://www.datamine.com/industryexpertise/case-studies/not-for-profit) - [Media & Entertainment](https://www.datamine.com/industryexpertise/case-studies/media-and-entertainment) - [Telco](https://www.datamine.com/industryexpertise/case-studies/telco-and-technology) - [Utilities](https://www.datamine.com/industryexpertise/case-studies/energy-and-utilities) - [Health & Wellness](https://www.datamine.com/industryexpertise/case-studies/health-and-wellness) - [Government](https://www.datamine.com/industryexpertise/case-studies/government) - [Finance](https://www.datamine.com/industryexpertise/case-studies/banking-and-finance) - [Insurance](https://www.datamine.com/industryexpertise/case-studies/insurance) - [Real Estate](https://www.datamine.com/industryexpertise/case-studies/real-estate) - [Industries](https://www.datamine.com/industry) - [Retail](https://www.datamine.com/industry/retail) - [FMCG](https://www.datamine.com/industry/fmcg) - [Travel](https://www.datamine.com/industry/travel-and-tourism) - [Health & Wellness](https://www.datamine.com/industry/health-and-wellness) - [Not for Profit](https://www.datamine.com/industry/not-for-profit) - [Media & Entertainment](https://www.datamine.com/industry/media-and-entertainment) - [Telco](https://www.datamine.com/industry/telco) - [Utilities](https://www.datamine.com/industry/utilities) - [Government](https://www.datamine.com/industry/government-and-public-sector) - [Finance](https://www.datamine.com/industry/banking-and-finance) - [Insurance](https://www.datamine.com/industry/insurance) - [Discover](https://www.datamine.com/resources) - [Products](https://www.datamine.com/what-we-do/our-products) - [WeekAhead](https://www.datamine.com/weekahead) - [Retailwatch](https://www.datamine.com/ourservices/retailwatch) - [Site Spotter](https://www.datamine.com/ourservices/sitespotter) - [NZ Fuel Prices](https://www.datamine.com/data/fuel-price-nz) - Insights - [Executive Insights](https://www.datamine.com/executive-insights) - [The Boardroom Table](https://www.datamine.com/theboardroomtable) - [Retailwatch Dashboard](https://www.datamine.com/reports/retailwatch-dashboard) - [Telcowatch Report](https://www.datamine.com/telcowatch) - [Downloadable Guides](https://www.datamine.com/resources/datamine-guides) - [Datafix Blog](https://www.datamine.com/datafix) - [The Boardroom Table](https://www.datamine.com/theboardroomtable) - [About us](https://www.datamine.com/about-us) - [How we work together](https://www.datamine.com/how-to-drive-commercial-growth-with-data-analytics-and-ai-datamine) - [The Datamine Story](https://www.datamine.com/the-datamine-story) - [Our People](https://www.datamine.com/being-a-dataminer/our-people) - [Our Values](https://www.datamine.com/en-au/about-us/our-values) - [Our Partners](https://www.datamine.com/company-we-keep-tech-partners) - [Join Us](https://www.datamine.com/being-a-dataminer/join-us) - [Contact us](https://www.datamine.com/contact-us) # The datamine guide to Customer Segmentation You already know that understanding your customers is essential. But that doesn’t always mean it’s easy. For many Australian and New Zealand businesses, customer segmentation is one of the most effective ways to drive performance, personalisation and profitability. If you’re investing in customer experience or aiming for maximum operational efficiency, it should be in your data toolkit. ![Datamine Guide to Customer Segmentation cover web](https://www.datamine.com/hs-fs/hubfs/Datamine%20Guide%20PDFs/Datamine%20Guide%20to%20Customer%20Segmentation%20cover%20web.png?width=1136&height=757&name=Datamine%20Guide%20to%20Customer%20Segmentation%20cover%20web.png "Datamine Guide to Customer Segmentation cover web") ### The value of customer segmentation   When done well, segmentation can help your business cut through the noise and show you where to direct your resources and attention. Segmentation provides the structure to refine your marketing strategy, streamline your operations, or identify your most valuable customer groups. This Datamine guide provides a brief outline of key stages in the customer segmentation process. More importantly, it explains the ‘why’, so you get a better understanding of the commercial value of segmentation, when to use it, and the outcomes it can support.   **Interested?  Please enter your details below to download a copy of the *Datamine Guide to Customer Segmentation.*** ## HERE'S WHAT'S INSIDE ### What is customer segmentation? Customer segmentation divides your customer or market data into smaller, more meaningful groups based on shared characteristics. These could be behaviour, demographics, location, purchase history or where a person is in your customer journey.   ### The value of segmenting data in businesses Segmentation isn’t just about improving your email marketing (though it certainly helps with that). It supports better decision-making across your business, from product development and sales strategies to inventory management and pricing.   ### Types of customer segmentation There are several types of segmentation, and each approach helps you see your data and customers in a new light. Using real-world examples, this guide explains how product, operational, journey stage and customer vs market segmentation serve different business goals.   ### Key stages of customer segmentation While segmentation can be complex, it generally involves setting your goals, organising your data, defining your segments, implementing strategies, and measuring and refining them over time. We break down each stage and offer practical guidance on what it looks like in action, including how to handle imperfect data and when to seek external support.   ### Empower growth with customer segmentation At its core, segmentation is a way to scale *smarter. *It helps you make better use of your existing resources and target the people who bring the most value to your business. When markets shift (which they often do), segmentation will be what keeps you agile, allowing you to adapt quickly.   ### FURTHER READING [Ways Customer Analytics Amplify Marketing Strategies](https://www.datamine.com/datafix/ways-customer-analytics-amplify-marketing-strategies) [Fantastic Customers and Where to Find Them](https://www.datamine.com/datafix/index.php/2019-fantastic-customers-and-where-to-find-them-hint-in-your-data) [4 Components of a Great Customer Retention Strategy](https://www.datamine.com/datafix/4-components-to-a-great-customer-retention-strategy)   ## COMPANIES WE HAVE DESIGNED SEGMENTATION SOLUTIONS FOR: ![datamine-logo-white](https://www.datamine.com/hs-fs/hubfs/Datamine%20logos/datamine-logo-white.png?width=154&height=29&name=datamine-logo-white.png) ### Contact Us - [Sydney](https://www.datamine.com/contact-us)  - [Melbourne](https://www.datamine.com/contact-us)  - [Auckland](https://www.datamine.com/contact-us)  - [Wellington](https://www.datamine.com/contact-us)  ### Connect with us [![linkedin-color](https://www.datamine.com/hs-fs/hubfs/Imported_Blog_Media/linkedin-color.png?width=39&name=linkedin-color.png)](https://www.linkedin.com/company/datamine) ### Serious Stuff - [Privacy Policy](https://www.datamine.com/privacystatement?hsCtaTracking=b40dbcd4-898e-4896-82f4-47311ce55cd1%7C507e064b-99be-4674-b749-0ea504c654a1) - [Website Terms & Conditions](https://www.datamine.com/website-terms-conditions?hsCtaTracking=bb0a7bda-ab90-47ed-a409-8c4a4435d768%7C296185ae-0ae9-45ac-ab8b-62ca3c223db8) - [![Data Warranted Logo](https://www.datamine.com/hs-fs/hubfs/Client%20Logos/dataWARRANTED-871483-edited-057119-edited.png?width=150&name=dataWARRANTED-871483-edited-057119-edited.png)](https://marketing.org.nz/data-warranty-register) Copyright © Datamine 2026 ### Subscribe to our Newsletter Stay in the loop with our latest updates by signing up for our newsletter today! 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