To understand customer needs, organizations have relied on segmentation to create categories of customers based on shared characteristics. The most common method of segmentation involves applying hard-coded rules to a customer profile, which requires time-consuming and manual data analysis. This method has become less viable with customer data growth. Segmentation solutions on AWS harness rules-based and machine learning-based segmentation to process vast amounts of data and discover recurring patterns that may not have been traceable with manual data analysis.

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