Customer Analytics For Dummies

Customer analytics involves gathering data about your customers at various stages of the buying experience, detecting patterns from that data, predicting actions your customers will take, and then making decisions about how to improve your business to attract more customers and keep the customers you already have.

Longitudinal: Customer analytics involves looking at customer behavior over time.

By far the most common and fundamental measure of customer attitudes is customer satisfaction. Customer satisfaction is a measure of how well a product or service experience meets customer expectations. It’s considered a staple of customer analytics scorecards as a barometer of how well a product or company is performing.

Customer segments enable you to understand the patterns that differentiate your customers.

The basic framework is to define what you want to do, find the right ways to measure it, do something about the measures, and put processes in place to continue using customer analytics to make better business decisions.

Vastly disparate segments may not respond to the same marketing messages or campaigns.

Comments provide immediate insight and potentially action

Ordinal: This includes data that has a natural ordering. The ranking of

For measuring customer loyalty, I recommend using both repurchase rates and likelihood to recommend. This provides a mix of both behavior and attitude.