Customer segments is a building block of the Business Model Canvas, in which the different customers of a company are grouped and prioritized according to their needs, preferences, characteristics, behaviors and other characteristics. The customer segments can be seen as the core element of any business model. In order to be able to make further decisions, for example with regard to the selection of the right channels and the intensity of the relationship, each company must determine for itself whether many small or a few large customer groups are to be processed specifically.
It is also important to note that there may be relationships between or impacts on other parts of the business model, depending on how different the customer segments the company serves are. For example, while several highly differentiated customer groups need to be served differently (very different channels, different approaches, etc.), a company serving the mass market can be more consistent in its approach and channel selection.

See also (glossary Business Model Canvas):

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My name is Jan Puder (LinkedIn profile Jan Puder). I am the founder & CEO of the BusinessTech-Company. Me and the BusinessTech-Company want to push the digital frontier. This is the reason, why I started this website. I want to provide information about digital businesses, especially for Chief Digital Officers.

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