Why Study Migration Patterns?
Customers are not statues, cast in stone and plunked down in a park as a perch for birds. Some buy a lot, and some defect to the competition. Though you likely have some very steady buyers, most customers are in motion. That is not a new notion. We wrote about it four years ago in the Target Marketing magazine article “The Five Laws of Velocity Marketing.” Today marketers refer to that behavior as customer migration. We study customer-migration patterns because they help us understand customer behavior and ultimately increase sales. We want to know why some customers defect and others remain loyal. We want to know how to allocate the marketing budget to get more customers moving up in our rankings than there are customers moving down. We want to sell more goods and services. We want to maximize our revenue and marketing return on investment (ROI). What we learn from migration patterns can help with all those tasks. The Role of Customer Segmentation Migration implies movement from here
