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Simplifying Web segmentation

Life stage segmentation—long an effective off-line technique—can be a powerful, cheap, and easy-to-use tool for mass-market B2Cs.

Mass-market business-to-consumer (B2C) companies may have the tools they need to gain knowledge about every aspect of their customers’ lives and thus to build personalized, profitable relationships with consumers. Unfortunately, acquiring the kind of information these tools need is a time-consuming and invasive process requiring customers to answer detailed questionnaires about their lives or to complete a lengthy series of transactions, and most of them just don’t stick around long enough to provide a clear picture of their identities, needs, and tastes. Fortunately, there is an easier way to segment B2C consumers. It has worked well for a long time in the off-line world and can help B2Cs increase their appeal to customers from the start.

Empirical research shows that it is content, above all, that lures consumers to any World Wide Web site and persuades them to return.1 To woo them successfully, a B2C—horizontal portal, mass marketer, and on-line community alike—must use tools that can anticipate customers’ future needs, even without a complete picture of their tastes and circumstances. Because the surfing public has a wide range of content preferences, mass-market B2Cs face the formidable challenge of developing superior content that appeals to a highly diverse population....

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