Close this search box.
Close this search box.

Effective market segmentation starts with quality data management.

Market segmentation is an essential component of successful marketing for businesses of all sizes. As customers come to expect more personalized interactions with brands, effective market segmentation can provide the necessary personalization to boost response rates on marketing campaigns and overall sales. Companies must strike a delicate, Goldilocks balance with their market segmentation — it should be targeted to be effective, but not with too many segments so that marketing and sales efforts, staff, programs, and technology are diluted. 

A data management partner like Infoverity can support organizations to optimize the use of their resources to create the right balance of target segments with the availability of resources. Data management also enables companies to generate accurate buyer personas and psychological profiles of customers that are crucial to effective market segmentation strategies. 

Market Segmentation Challenges

Challenge 1: Lack of Buy-in from Leadership

Senior leadership in an organization can often undermine market segmentation efforts, believing it will limit the overall customer base. Data management can counteract this by using data to illustrate how more targeted marketing leads to more effective and successful campaigns, optimizing resources to reach the right customers.

Challenge 2: Over-Segmentation

Excessive segmentation results in the squandering of analytic resources, as messages are tailored to too many buyer personas. Companies also have a limit of how much content they can create. With quality data management, companies can find the right balance with effective segmentation that prioritizes resources on targeted segments.

Challenge 3: Understanding customer engagement and consent

Customer consent for marketing can be global, brand, or even channel specific. Many companies fail to capture consent in a clear way for marketers. Businesses with a large number of legacy customers also often lack clear understanding of their engagement and consent preferences due to a lack of data management.  

Challenge 4: Efficiency and Effectiveness

Without market segmentation, companies engage in overly general marketing. Proper segmentation reduces ad spend, prevents irrelevant messaging, and cuts down on ad suppression. With market segmentation backed by data insights culled from quality data management, the efficiency and effectiveness of marketing improves.


Companies value first-party data as the most valuable when it comes to customer growth. Eighty-two percent of those surveyed indicated that “buyer intent, first party” (data from research activity on your website or landing pages) is very important and useful to GTM teams. In addition, data from “CRM tools, sales channels and product usage” was selected by 79% of respondents as very important.

Had access

Product leaders struggle to receive access to unified customer data. The same survey found that only 41% of respondents had access to a customer data warehouse or customer data platform that brings together and unifies the data types important to generating customer insights.

MDM Case Studies

Interested in learning more about the benefits MDM and Data Governance programs can have for your organization?

Download our free white paper and discover the Top 5 Business Outcomes of MDM and Data Governance.