What use case could segmentation fulfill to help a retailer acquire new customers while focusing on return-on-ad-spend (ROAS)?

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Segmentation plays a crucial role in helping retailers acquire new customers efficiently, particularly with a focus on return-on-ad-spend (ROAS). When utilizing segmentation to suppress non-target audiences, retailers can optimize their advertising strategies. This means selecting and delivering marketing messages specifically to those audiences that have a higher potential to convert into new customers.

By narrowing down the target audience to those most likely to respond positively, retailers can allocate their advertising budget more effectively. This not only minimizes wasteful spending on less promising prospects but also enhances the chances of acquiring high-value customers. The result is a more efficient use of marketing resources, leading to a better ROAS as campaigns are directed at individuals who have a higher propensity to engage, purchase, and therefore drive revenue.

In contrast, the other options, while related to customer engagement and retention, do not directly serve the purpose of acquiring new customers in conjunction with optimizing ad spend. Focusing on the acquisition of current customers or increasing customer service interaction pertains more to existing clientele, and retention strategies emphasize holding onto current customers rather than bringing in new ones.

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