Digital marketing is all about understanding your customers. You need to know what they like, what they don’t like and what gets their attention.
We live in a time were information is at the fingertips of every potential customer. And in some instances there’s so much information that people may miss or skip over the important stuff. This is a marketing nightmare because being seen is always the main goal. So how do you make sure your carefully crafted marketing campaigns reach your targeted audience? The answer is simple – with audience segmentation.
What Is Audience Segmentation?
Audience segmentation is a type of marketing strategy that divides your existing target audience into smaller groups based on certain criteria. How you divide or segment your audience is entirely up to you. For example, you can divide them by age, geographic location, gender, social media platform or occupation.
This type of segmented marketing strategy is very helpful because it places the right advertising message in front of an audience who will find the information relevant. This greatly reduces the risk of people scrolling past your adverts.
Why Audience Segmentation Is Important
A common mistake among first time marketers is trying to reach a very large audience all at once. While this may seem like a good idea in theory, in reality it’s not very effective. Creating digital advertising campaigns that appeal to very large groups of people can often be dull and boring. But by segmenting your target audience you can tailor advertising that is specific to the tastes of each group.
Segmentation also gives you the opportunity to connect with your audience/customers on a more individual level. Research states that this type of personalized marketing interaction is a hit among internet users because they don’t have to sift through stuff they aren’t interested in. This leads to much higher click-through and conversion rates which is great news for marketers.
Why You Should Be Using Audience Segmentation
In today’s technology driven world people have become accustomed to instant gratification. Almost anything we need is just a click away. The same principle applies when people are interested in a product. When people see something they like, they make a purchase almost instantly. Good examples of instant purchasing are music platforms such as iTunes – you hear a song, you decide that you like it, you buy it immediately.
Here are a few important reasons why you should be using audience segmentation…
- Your Customers Are Different
Within your customer base there are a multitude of different personalities. And even within these personality typesevery individual is different. So sendingall of them the exact same advertising message just won’t work because customers won’t engage with a message that doesn’t speak to them personally. By segmenting your audience you will be making your customers happy and boosting your business.
- Increase Revenue
The principle behind this is rather simple. If advertising messagesare relevant, it makes for a better customer experience. But we also want to meet our business goals in order to increase profits. This is another reason why audience segmentationis so cool. Businesses that use segmentation experience a marked increase in revenue. This makes perfect sense because the more relevant the message, the more likely a person is to act on it.
- Tailored Content
Segmentation allows you to create content that is tailored to the needs of each group. With cool paid marketing options like PPC (Pay-Per-Click) and targeted social media advertising available to marketers, you can create custom contentthat is sent directly to your intended target audience. Because your content appears in the right place at the right time, it will reduce your advertising costs in the long run.
- Improves Brand Reputation
The benefits of segmentation don’t stop with just tangible stuff like revenue. It also drives another important asset – loyalty and brand reputation. Audience segmentation gives you the chance to build a relationship with your customers. This is vital because you get to know more about each group on a more personal level. Once you know why people are connecting with your brand it becomes easier to meet their particular needs with regard to problem solving and product preferences. Happy customers are loyal and this will increase your brand reputation.