In addition to the conventional RFM (Recency / Frequency / Monetary) method, companies analyze their customer needs (loyalty or purchase patterns) and use ths insight to segment their customers.
In order to uncover needs and get deep insight, which even customers themselves may not be aware of, companies conduct in-depth interviews with typical customers from their most important customer segments.
Companies identify the behavioural patterns of their typical customers by analyzing the interview results using grouping and other methods. Companies develop a model of their typical customers around these behavioural patters. In order to achieve a vivid image, the model or Persona is depicted in the form of a story which is based mostly on facts.
