“Fox, where have you been for the last three hours? If I were you (and I thank my personal god I am not), I wouldn’t be sitting around chin wagging. Plenty of six-figure names in that zip code file to cold-call.”
—JAMES KAREN AS LYNCH IN Wall Street (1987)
No business can long survive without finding new customers. The process of finding new customers begins by learning as much as we can about current customers and groups of customers.
We identify the types of customers who are most likely to buy as well as sets of variables that may be used to find those customers. Ranges of values on those sets of variables define market segments, which in turn can be used to identify new customers.
A market segment is a group of consumers ...