Customer Segmentation in FMCG Sector with RFM Method and Digital Marketing Recommendations in E-Commerce

Abstract

E-commerce volume in Turkey has increased significantly with the Covid-19 pandemic. In parallel, the number of sellers on e-commerce platforms increased approximately 8 times in a 3-year period. In this period of increasing competition, segmenting customers in detail is of great importance in order to manage customer relations effectively. Customers have different needs, preferences and behaviors; therefore, the same standard approach to every customer will not be enough to optimize customer satisfaction and sales performance. Companies have begun to attach great importance to data analysis in order to better manage customer relations. There are different method studies for customer segmentation in the literature. In this context, different segmentation methods were applied in the study and their results were compared. After the segmentation process was completed, appropriate digital marketing strategies were determined for each customer cluster in the selected method.