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Smart Segmentation

Understanding Customer Microsegments with AI


Marketing teams often rely on a handful of simple marketer-defined segments to drive their marketing efforts. Unfortunately, what is easy for the marketer is not always best for the customer. Marketing content and offers are targeted at the large groups based on simple attributes like location or income, and most people in the group are not receptive to these marketing messages leading to low conversion rates, poor customer satisfaction and customer churn.


AI based machine learning models can easily segment customers using a much wider variety of data including browsing behavior, prior purchases, demographics, household data from third parties and more. The outcome is much smaller groups of customers with clearly defined attributes that are customer-based including common characteristics, interest and intent. This information allows marketers to develop content and campaigns to target the most valuable or receptive segments for a given message or product. This advanced targeting approach focuses marketing creative resources on the right messages for the most valuable customers which yields higher conversion rates and higher revenues from marketing campaigns and reduced waste.


The mission at is to democratize AI for all so that more people across industries can use the power of AI to solve business and social challenges. Across industries, marketing use cases drive significant use of products to solve key challenges including lead scoring, customer segmentation, offer optimization and content personalization. Marketing technology companies including G5 and trust technology to help them deliver innovative marketing solutions for their clients. H2O Driverless AI is an award-winning platform for automatic machine learning that empowers data science and technical marketers to scale machine learning efforts by dramatically increasing the speed to develop highly accurate predictive models.

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