Certified Supply Chain Professional (CSCP) Practice Exam

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Study for the Certified Supply Chain Professional (CSCP) Practice Exam. Prepare with multiple choice questions, each accompanied by hints and explanations. Get ready to ace your exam!

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What does customer segmentation involve?

Combining all customers into one group
Dividing the customer base into similar groups for marketing
Ignoring customer preferences in marketing
Focusing on the product rather than the customer

The correct answer is: Dividing the customer base into similar groups for marketing

Customer segmentation involves dividing the customer base into groups that share similar characteristics, needs, or behaviors for the purpose of targeted marketing. This process allows businesses to tailor their marketing strategies and product offerings to meet the distinct preferences and requirements of different segments. By understanding the unique attributes of each group, companies can enhance customer satisfaction, improve engagement, and ultimately drive sales by addressing specific needs more effectively. This strategic approach not only leads to better resource allocation but also helps in building strong relationships with customers by demonstrating that their unique preferences are recognized and valued.