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Segment Customers, Boost Profitability

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Segment Customers, Boost Profitability

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Gain insight into a topic and learn the fundamentals.
Beginner level

Recommended experience

2 hours to complete
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Learn at your own pace

Gain insight into a topic and learn the fundamentals.
Beginner level

Recommended experience

2 hours to complete
Flexible schedule
Learn at your own pace

What you'll learn

  • Segment customers with RFM to find high-value groups and measure campaign profitability lift to optimize marketing investments.

Details to know

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Recently updated!

February 2026

Assessments

5 assignmentsΒΉ

AI Graded see disclaimer
Taught in English

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There are 2 modules in this course

Ready to move beyond one-size-fits-all marketing? This course is for aspiring business analysts and marketers who want to unlock the power of customer data to drive real-world financial results. You will master the RFM (Recency, Frequency, Monetary) model, a powerful technique used by leading companies like Starbucks and ASOS to understand who their best customers are and why. Through a series of practical, hands-on spreadsheet activities, you will learn to transform raw transaction data into actionable customer segments.

But identifying segments is only the first step. You will also learn the critical skill of measuring the financial success of your marketing efforts. This course teaches you how to calculate the profitability lift from a targeted campaign, allowing you to prove the ROI of your strategies in any finance review meeting. By the end of this course, you won't just be analyzing data; you'll be making data-driven recommendations that directly link marketing initiatives to bottom-line growth, equipping you with the skills to optimize marketing spend and boost profitability.

In this module, you’ll learn the foundational concept of customer segmentation through the powerful RFM model. Learners will discover why a one-size-fits-all approach to marketing is inefficient and learn to transform raw transaction data into actionable customer segments. By the end of this module, you will have calculated RFM scores and classified customers into distinct groups, setting the stage for targeted marketing and analysis.

What's included

2 videos2 readings2 assignments

2 videosβ€’Total 18 minutes
  • What is RFM Analysis?β€’7 minutes
  • How to Calculate RFM Scores in a Spreadsheetβ€’10 minutes
2 readingsβ€’Total 16 minutes
  • The Anatomy of RFM: Defining Your Key Metricsβ€’8 minutes
  • From Scores to Segments: Creating Customer Personasβ€’8 minutes
2 assignmentsβ€’Total 20 minutes
  • Hands-On Learning: Build Your First RFM Segmentsβ€’15 minutes
  • Knowledge Check: RFM Concepts Checkβ€’5 minutes

Building on the segments created in Module 1, this module focuses on a critical business question: Did our marketing campaign actually work? Learners will move beyond vanity metrics to calculate the true financial impact of a campaign. You will learn to measure the incremental revenue and profitability lift for each customer segment, enabling you to prove the ROI of targeted strategies and make data-backed recommendations for future resource allocation.

What's included

2 videos1 reading3 assignments

2 videosβ€’Total 14 minutes
  • Why Campaign ROI Isn't Enoughβ€’6 minutes
  • How to Calculate Profitability Lift per Segmentβ€’8 minutes
1 readingβ€’Total 8 minutes
  • Defining Profitability Lift: The True Measure of Successβ€’8 minutes
3 assignmentsβ€’Total 50 minutes
  • Hands-On Learning: Analyze the Campaign Resultsβ€’15 minutes
  • Knowledge Check: Measuring Liftβ€’5 minutes
  • Customer Analytics Reportβ€’30 minutes

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Frequently asked questions

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ΒΉ Some assignments in this course are AI-graded. For these assignments, your data will be used in accordance with Coursera's Privacy Notice.