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Market segmentation is the basis of every successful long-term marketing strategy. Let's learn some types of market segments?

To get the maximum value of your marketing budget, understand the motivation of your customers' spending by dividing your market into several subgroups, then you will be in a stronger position to serve your customers' unique needs.

According to research from SALESTanago, 77% of ROI marketing comes from campaigns that are segmented, targeted, and triggered. So, if your marketing campaign fails, do more market research to understand what moves your customers in every segment.

One of the reasons market segmentation techniques encourage more revenue for your business is because these techniques can help you provide personalized customer experience.

Demographic

Demographic market segmentation is fully focused on who it subscribes to. However, the characteristics placed into the demographic market segment depend on whether you run the B2B or B2C business. If you run a B2B company, you will most likely include features in this segment including the type of industry, company size, time in position, and role in the company. On the other hand, the B2C company will include demographic characteristics such as age, education, gender, occupation, family status, and income.

This is a very common type of segmentation used in market research to determine the company's main target audience. This information is also easy to come by. What you need to do to get this information is to withdraw census data. Car dealers can use this information to market their brands to different genders, age groups, and levels of income. It is also shown to be a useful type of market segmentation because it allows you to directly respond to the wishes and needs of your customers.

If your main product is high-end stuff, you may want to group your audience based on high household income. When you use these characteristics to categorize your audience for marketing purposes, you should be able to increase customer retention and loyalty. You will also not waste the resources to target audiences who will never be interested in the goods or services you provide. You can use some of the characteristics or segments in the demographic segmentation to reach the right customers with your marketing.

The belief when using this kind of market segmentation is that all customers in demographic properties will have the same purchasing behavior. For example, customers in the age group 40-49 may be much more likely to buy your products when compared to customers in the 20-24 age group, which is useful to know when you want to create effective and efficient marketing campaigns..

Geographic

Geographic market segmentation allows you to effectively divide the entire audience by their location, which is useful when customer locations play a role in their overall purchase decision. Core characteristics and segments that can be used with geographic segmentation include areas, continents, countries, cities, and districts.

This is a very popular type of segmentation because most customers are influenced at least partially by their place of residence. If a large number of your audience lives in the United Kingdom, you can use this information to create a co.uk website. This segmentation form is considered ideal for an international company.

Customers living in different countries will have different desires and needs, which can be right on target in marketing campaigns. This is considered by many companies the simplest form of market segmentation. It is also very useful for small businesses with limited budgets. If your main geographic segment responds to online advertising better than TV and print ads, this information will help you use resources wisely.

Psychographic

Psychographic market segmentation aims to separate audiences based on their personalities. Different characteristics in this segment include lifestyles, attitudes, interests, and values. However, extensive research will be required with this segmentation form because it identifies demographics based on the relatively subjective personality. If you find that your main audience values the quality and efficiency of energy above all else, your marketing platform can be changed to account for this core value.

You should include at least some psychographic characteristics when forming a marketing approach to ensure that you don't miss the perspective your audience may have. Although this market segmentation is difficult to use, many companies believe that it can generate high profits. When your marketing is targeted at a person's personality, it is likely that individuals who see this marketing will be more loyal to your brand.

Behavior

The behavior market segmentation divides your entire audience based on the behavior they have shown with your brand. Some of the key features in this type of segmentation include product knowledge, buying patterns, previous purchases, awareness of your business, and product rankings.

To understand well how this market segmentation is used, an example of a business that may use this type of segmentation is a restaurant. If a restaurant has a different menu for lunch and dinner, they can compare the buying pattern between a dinner audience and a lunch audience. There is a possibility that items on the lunch menu will be much more popular if available on the dinner menu. Restaurants can use this data to perfect their menu and release a new menu that will be more effective for each audience segment.

So after knowing the type of market segment, watch other interesting news on VOI, it's time to revolutionize news!


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