What Is Lifestyle Segmentation? (Plus Examples and Tips)

Definition: Customer lifestyle segmentation is a practice which involves dividing the information of each and every customer into small sub-groups. These sub-groups are made from the data pertaining to each and every customer. These groups are created to draw inferences about customer choices, likes or dislikes.

Lifestyle segmentation is a key tool in the arsenal of marketers and businesses looking to target their products and services to the right audience. It allows businesses to unlock valuable insights about their customers and better understand their behavior, preferences, and motivations. By segmenting customers based on lifestyle, companies can more effectively personalize their marketing campaigns, driving better results and more meaningful customer relationships. In this blog post, we’ll explore what lifestyle segmentation is, how it works, and why it’s so important for businesses to use it.
Lifestyle segmentation is a form of market segmentation that focuses on dividing a market into different groups based on lifestyle characteristics such as age, income, occupation, interests, activities, values, and beliefs. This process of segmentation enables businesses to better understand their customers and target their marketing efforts more effectively. It provides the ability to customize products and services based on a customer’s lifestyle, creating a more personal experience. By

Customer Store Tutorial: What is Lifestyle Segmentation?

What’s the purpose of lifestyle segmentation?

Marketers use lifestyle segmentation for a variety of reasons. Some of the most significant benefits include the following for a marketing team:

Customer retention

One of the difficulties marketers encounter is keeping current clients around for an extended period of time. Over time, all consumers’ tastes, routines, and lifestyles change, which may cause them to grow distant from particular goods or services. Marketers have the chance to better comprehend these changes and remain adaptable thanks to lifestyle segmentation. Marketers can modify their advertising and make sure that their products remain relevant to their existing customers by continuously gathering data on customer lifestyles.

Customer relations

Customers frequently favor businesses that cater to their needs and offer individualized services. Companies can provide tailored offers and higher levels of service by using lifestyle segmentation to better understand the needs of their individual customers. This could be a useful strategy for enhancing customer relationships, which might increase sales and customer loyalty.

Marketing opportunities

Marketers are always looking for ways to expand their product lines or reach underserved market segments. These expansions are crucial to creating a sustainable and expanding company. Utilizing lifestyle segmentation is one of the best ways to discover new marketing opportunities. It enables marketers to gain more insight into consumer behavior and can highlight the customer dynamics they are overlooking.


The importance of lifestyle segmentation for businesses operating in competitive markets is frequently underrated. It enables them to target their customers in ways that their rivals are ignoring and gain a more detailed understanding of them. Specializing a company’s goods or services can also assist businesses in locating untapped market niches and lowering competition.


One of the most significant trends in marketing and e-commerce is personalization. Many clients now anticipate businesses to take into account their preferences and make offers and suggestions based on their requirements. Lifestyle segmentation may be beneficial if your team wants to increase personalization in its marketing operations. This enables you to gather useful information that you can use to more effectively target specific clients.


Driving consumer adoption of a company’s goods and services and boosting sales are marketing’s main objectives. Marketing professionals can frequently improve the efficacy of their campaigns and boost their businesses’ profits by using lifestyle segmentation. It enables them to gather useful information that they can use to improve the appeal of their products, which will increase sales and customer loyalty.

What is lifestyle segmentation?

Customer information is divided into subcategories using the marketing strategy known as lifestyle segmentation. These segments are a reflection of consumer purchasing patterns, interests, dislikes, and daily routines. These segments are used by marketers to develop customer personas and targeted advertising campaigns that more accurately reflect the needs and preferences of their target market. This tactic is a crucial component of personalized marketing, which is growing in popularity with businesses across all industries. Age, activities, income, beliefs, marital status, employment status, and opinions are some of the variables that marketers take into account when segmenting their target markets.

The main procedures that marketers follow when incorporating lifestyle segmentation into their campaigns are as follows:

Examples of customer profiles

One popular tool that divides customers into eight fundamental categories is the VALS (values, attitudes, and lifestyles) segmentation model. These categories serve as an excellent illustration of how marketers might segment their clientele:

Examples of how businesses use lifestyle segmentation

Here are two instances of how businesses might market a product using lifestyle segmentation:

Example 1

A streetwear company is launching a fresh collection of high-end clothing for teenagers. The line will feature luxurious fabrics and be more expensive than the company’s current offerings. Although the company has a sizable customer base, they decide that young people who participate in social activities, care about self-expression, and have some disposable income are the most crucial consumers for their campaign. They then develop a marketing campaign that uses social media and emails to target these people using the customer data they have gathered.

Example 2

A food business has introduced a new line of snacks that are better for you than some of their other offerings. Marketers segment their customer base into different groups and find that many are more concerned with taste and convenience than with health issues. Additionally, they discover that some of their clients are very interested in the nutritional value of their food, as well as in sports, fitness, and outdoor activities. They then create a marketing strategy that highlights the health benefits of their products and involves collaborations with fitness and wellness companies.

Tips for implementing lifestyle segmentation in your work

The following advice will assist you in putting a lifestyle segmentation strategy into practice at work:


What is an example of lifestyle segmentation?

Example 2. A food business has introduced a new line of snacks that are better for you than some of their other offerings. Marketers segment their customer base into different groups and find that many are more concerned with taste and convenience than with health issues.

What segmentation does lifestyle fall under?

One method of market segmentation is the lifestyle segmentation. It directly falls under the psychographic segmentation. The AIO (Activities, Interests, and Opinions) is the most popular tool for lifestyle segmentation.

What does lifestyle mean in marketing?

Lifestyle marketing is a type of advertising that positions a product or service as embodying ideals, aspirations, and aesthetics that the target market can relate to. For the layperson, it means that the audience lives by the brands that are promoted in this manner.

What are the 4 types of segmentation?

Although the four primary types of market segmentation are thought to be geographic, demographic, psychographic, and behavioral, there are many additional tactics you can employ, as well as numerous variations on the four primary types. Here are several additional strategies you might want to consider

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