Personalization Glossary

At PSYKHE, we're obsessed with the why: Why do we like the things we like? Why does one person like a pair of shoes, a sofa, a travel destination, or a song, while someone else does not? Understanding all the factors that drive individual taste, including personality and psychographic data, enables us to create the world's most sophisticated recommendation engine. After all, you can't personalize without personality. Shaping a stellar recommendation strategy is a big job, so to help you grasp what a complete AI personalization blueprint for your business entails, we've collated definitions related to personalization here.


When carrying out a customer segmentation strategy, there are two key types: macro-segmentation, which focuses on dividing consumers by high-level customer data such as language, gender, geographic location, or source, and micro-segmentation, which is more specific and granular, such as the use of behavioral and psychographic data. Macro-segmentation results in larger segments because it looks at broader attributes, but is better than no segmentation at all. Macro-segmentation and micro-segmentation, are both important strategies for executing personalization.