This chapter describes the goals of customer analysis and steps in customer research, and explores the relevance and process of segmentation. It considers the basic models in measuring customer perceptions and presents the advantages and limitations of qualitative and quantitative research. The chapter provides sources of individual customer data and traces secondary sources of customer data. The largest problem in market research is that it is difficult for people to indicate what they might like in the future. People typically underestimate their future needs. Customer research may be used for different purposes. A distinction is often based on the type of research: exploratory, descriptive, and causal. A customer analysis has various potential usage situations, and each situation requires that different information be collected. Segmentation is dividing the group of potential customers into subgroups. The reason for doing this is that it is assumed that different groups can have different needs.