Dynamic Predictive Segmentation is the Future of Marketing
Chicago, Illinois, USA – January 29, 2018 – simMachines, Inc., the leader in Explainable AI / Machine Learning applications released a new Forrester Consulting study, “Capture the Customer Moment with Dynamic Predictive Segmentation.” In the study, a Forrester thought leadership paper commissioned by simMachines, January 2018, “100% of firms agree it’s risky not to adopt dynamic predictive segmentation.”
According to this independent study, today’s digitally- empowered customers have high expectations for relevant, highly personalized customer experiences. Companies must keep pace with these growing demands or they will be left behind by their more perceptive competition. Based on insights from over 150 marketing decision-makers, the Forrester study found that marketers feel the need to adopt new segmentation methods to better enable their firms to meet individual customer’s needs in real time. Today, it’s not just if companies are using segmentation, but how they use it that really sets the leaders apart.
Key findings of the study include:
- Segmentation is a strategic asset. Marketing to today’s customers is all about context. Marketers need to engage customers by providing highly relevant content and personalized experiences. Customer segmentation is an increasingly crucial tool in the marketers’ quest to provide this engagement with the benefits of segmentation extending into planning and product innovation as well.
- Static segmentation can’t keep up anymore. Marketing teams in many companies are struggling to meet these growing customer demands for personalized experiences. 74% of the marketing decision-makers who participated in the study, reported it was challenging/very challenging to respond to customer behaviors in real time; 72% reported difficulties translating the result of data and analytics into measurable business outcomes; and 62% had problems creating content and recommendations relevant to each customer.
- Dynamic predictive segmentation is the future. To meet marketers’ needs, a new and superior form of segmentation has entered the market: dynamic predictive segmentation (DPS). DPS allows companies to keep pace with customers by providing speed to insight, the agility to react to rapidly emerging trends, and the ability to make precise predictions and forecasts. All marketers in the study agreed that there is an opportunity cost for not adopting DPS. In fact, 42% of marketers in the study are interested in or plan to adopt DPS in the next 12 months.
“Dynamic Predictive Segmentation provides clients with highly precise, contextually relevant and inherently actionable insights as to the motivating drivers behind a customer’s predicted behavior at machine learning speed and scale,” says Dave Irwin, simMachines, CMO. “The ability to generate machine driven segments at a rate of millions per second, and reveal the weighted factors behind segments of predictions that share common characteristics, is a game changer for today’s marketers. It enables marketers to quickly achieve relevancy in each interaction.” Dynamic Predictive Segmentation isn’t possible without explainable AI technology that reveals the weighted factors behind every individual prediction at a local rather than global level. This is what sets simMachines’ customer segmentation machine learning applications apart from other technologies.
“Capture the Customer Moment with Dynamic Predictive Segmentation” can be downloaded from simMachines web site (https://simmachines.com/forrester/). The research study reflects a comprehensive summary of the segmentation uses, challenges, and priorities of senior marketers across leading brands and their plans to adopt DPS this year.
simMachines is the leader in explainable AI/machine learning technology. Founded in 2012, simMachines offers the most comprehensive explainable machine learning software in the world. simMachines enables data scientists, marketers, analysts and business leaders to achieve significant gains in efficiency, performance, and innovation while providing inherently actionable insights delivered with transparency and trust behind every prediction. For more information on simMachines, Predictions with the Why®, call (260) 632-7378 or visit www.simmachines.com.
“Having transparency into why predictions are made is pretty high on the list. That goes back to believability: you need to have transparency to see how you got there. It can’t be a black box, that’s when you lose everybody.”
– Director of Shopper Marketing Initiatives, CPG company
Capture The Customer Moment With Dynamic Predictive Segmentation, a January 2018 commissioned study conducted by Forrester Consulting on behalf of simMachines