strategic segmentation

Your Segments Are Your Strategy

Your Segments Are Your Strategy Customer segmentation is more than just nominal grouping and categorization. If you approach your customer segmentation correctly – with real, profit-driving behavioral data – your customer segmentation becomes a blueprint for driving success throughout your organization. Your segmentation is a major part of your go-to-market strategy. When done right, segmentation…

Proper Segmentation Unlocks the Door to New Sales Opportunities

Proper Segmentation Unlocks the Door to New Sales Opportunities Most distributors examine their current sales reports to determine if their sales are trending up or down. The better sales people track this data customer-by-customer. Unfortunately, this type of analysis does not help you determine missing share of wallet. If a customer’s rate of sales decreases,…

Pieces of Your Revenue Puzzle

Pieces of Your Revenue Puzzle When you’re putting the pieces of your revenue plan together, an area often overlooked is increasing your share of wallet with each customer. It’s unusual for a customer to buy most or all of their products from a single distributor, but how do you get them to buy more from…

Why Should You Consider Enhancing Your Segmentation Strategy?

Why Should You Consider Enhancing Your Segmentation Strategy? In analyzing the business of hundreds of distribution companies, we’ve found that most distributors rely on very simple segmentation. Some companies even operate without any segmentation, flying blind hoping to come out at a reasonable price based solely on their own instincts and their ability to muscle…

Distribution Customer Segments

In Distribution, Better Segments Lead to Higher Margins

In Distribution, Better Segments Lead to Higher Margins Optimized pricing is one of the best—and often untapped—sources of profit optimization for a distributor. And few strategies can improve pricing in the distribution industry as well as precise, effective application of segmentation principles. In fact, many distributors are adding two to four points of gross margin…