As a business owner, it’s important to understand your target audience’s needs and wants, as well as what motivates them. Once you have a good understanding of your target market, you can begin to segment them into smaller groups. This will allow you to create better marketing campaigns that appeal specifically to their needs.
Target marketing and market segmentation work together. Target marketing aims to understand how to position your campaigns to appeal to the right segment strategically. Here’s a deeper look at how target marketing and market segmentation help you identify new customers and grow your business.
What is target marketing?
Target marketing is the process of identifying a specific group of people who are most likely to buy your product or service. Once you’ve identified your target market, you can create marketing campaigns designed specifically for them. This allows you to focus your resources on the people who are most likely to buy from you, resulting in a higher return on investment.
Target marketing allows you to connect directly with a specific audience and attract higher-quality leads. Because you’re gaining the attention of the right buyers, you’re making your brand stand out to the right crowd. The practice also allows you to focus on a specific segment so you can improve customer relations and develop deeper levels of customer loyalty.
When done right, target marketing and market segmentation can help you create better, more engaging content because you know your audience’s expectations. It also allows you to identify the right keywords your audience is searching for and, therefore, improves SEO. And when you leverage insightful data, you can drive more traffic, create more effective email campaigns, and develop more appealing ads.
What is market segmentation?
Market segmentation is the process of dividing your target market into smaller groups. This allows you to create even more targeted marketing campaigns, ultimately leading to more sales and a higher return on investment.
Market segmentation can be categorized by type, including geographic area, demographics, behavior, and psychographic. Segmenting by geography would include organizing by country, city, area code, or neighborhood. Demographic segmentation would include categorizing by gender, education, age, race, marital status, race, and so on. When you categorize based on behavior, you would be segmenting people by their spending and purchasing habits. And psychographic segmentation would involve organizing by interest, personality, beliefs, values, and lifestyle.
Segmenting your market allows you to create targeted marketing campaigns designed specifically for each group. As a result, you’re able to focus your resources on the people who are most likely to buy from you, and you see a higher return on investment.
At RunnerEDQ, we know the benefits of target marketing and marketing segmentation. We offer Data Enhancement Services which help optimize your current contact database with geocoded addresses, phone numbers, email addresses, social media handles, and more.
To learn how we can help you and your business, complete the contact form.
