Do you know what your customer’s needs and wants are? This will help you build trust and loyalty. Targeted marketing allows you to segment your audience. In addition, it directs relevant pieces of marketing toward your audience.
It is the approach to raise awareness for a product or service. However, a specific group of audience is there.
This can be a part of the total market. It can include businesses, professionals and households. It depends on who the marketer wishes to reach. It’s an excellent way to grow your business.
In today’s article, learn what it is with the help of strategies. In addition, understand the benefits and best practices.
In pochi punti:
What is Targeted Marketing?
“It’s the strategy of personalising online advertising. It’s done according to the data acquired for a specific audience.”Sender.net
“It’s the process of identifying a customer group. Then, promotion of products happens via mediums most used by this customer group. Therefore, it helps identify potential customers. In addition, it determines their preferred digital hangouts. And also their preferred content delivery modes.”Techopedia.com
It occurs when you group together customers on the basis of pre-determined factors. These factors differ from company to company. Segmenting your audience is a great way to direct your marketing campaigns.
In simpler words, instead of sending ads to everyone, you send ads to a specific set of people. These ads appear on the basis of the people’s preferences, interests and traits.
Therefore, it is a great technique. After all, you’re sending ads to people who are most likely to buy your products. The engagement rates are high here.
In fact, marketers and consumers prefer these strategies. More than 40% of people prefer seeing targeted ads.
In addition, behavioural data-based ads are effective. They have a 5.3x higher clickthrough rate.
Therefore, segmentation is a major part of targeted marketing. It happens on the basis of specific criteria.
With a large pool of data, it’s easy to narrow down the groups. You can create target groups based on psychographics, geographics and demographics.
Types of Audience Segmentation
Break your customers into smaller groups. This helps divide and sort them into different types of audience segmentations. Here are the most popular kinds of audience segmentations:
- Demographic. Consider factors such as age, gender and race. For instance, a jewellery store selling jewellery for women. They will target their marketing activities toward females.
- Psychographic. Divide your audience on the basis of their opinions. Survey your past or present customers. In addition, you can also use web analytics to get this info.
- Geographic. It focuses on the needs of your audience based on their location. For instance, your company sells beachwear. Then you will target states with beaches.
- Behavioural. It tailors your messages according to the customer’s buying habits. For instance, you know that your users ask a few common questions before buying a product. Then, you should create educative content that answers these questions. This will provide them with answers and speed up the buying cycle.
5 Targeted Marketing Strategies
Take a look at the most popular strategies:
- Local marketing. It includes the neighbourhood and nearby areas. Thrive on local connections by implementing this strategy. For instance, if you run a grocery store, then this strategy will help you. Make use of mobile marketing to expand your customer base.
- Micromarketing. It focuses on a smaller section of the people. It’s also known as one-to-one marketing. Therefore, each product is unique to the customer’s needs. For instance, if you run a boutique, then this is a good strategy for you.
- Niche marketing. It’s also known as concentrated marketing. The focus is on a small section of the market. However, the target group is bigger than micromarketing. It’s good for companies that have limited products and sales. It helps generate a loyal customer base and generates high revenues. Companies like Armani and Rolex use niche marketing strategies.
- Segment marketing. This strategy is good for new product launches. The aim is to attract more people to the new products. However, this is expensive.
- Mass marketing. It involves marketing to all the people with one strategy. The aim is to reach everyone with most exposure to the products. Mobile, newspaper and TV ads are all examples of mass marketing. It’s a good strategy for FMCG products such as toothbrushes and toothpaste.
Advantages and Benefits
As you know, targeted marketing helps increase leads. In addition, it helps manage your existing customers. Here are some benefits:
- Connect with your audience. Connect with your potential customers. It helps you break down the entire population into smaller groups. You can then deal with each group. It helps you offer tailored marketing campaigns to each group.
- Attract quality leads. When you target potential customers, you get better leads. It allows you to reach out to people who want to buy your products. Since they’re already interested, they buy your products without any difficulty. Therefore, it helps generate more revenue.
- Makes your brand stand out. Don’t approach everyone in the market. Instead, focus on a small audience. This will help you stand out from the crowd. Customers are able to remember you because of your personalized marketing efforts.
- Builds customer loyalty. When you focus on a smaller audience, you’re able to provide them with better services. This helps establish trust. In addition, if they have a positive experience, then it generates brand loyalty.
- Focuses on specific segments. It allows you to be specific about your marketing campaigns. In addition, you can be specific with your initiatives and goals. Therefore, it helps your business better use your time, budget and resources. In addition, it helps you build long-lasting relationships with your customers.
- Improve products and services. When you focus on a small audience, you can ensure they have a great experience. For instance, if you run a boutique, then you can ask your customers for feedback. This will help you improve your services. Therefore, it will increase your respect in the eyes of your consumers. They will feel like you care about their feelings.
4 Targeted Marketing Examples
Here are some examples that will help you understand this concept better.
- Sandwich Shop. Healthy Subs is a sandwich shop. It’s adjacent to the gas station. Since it’s close to the highway, it expects most of the customers to be travelling. Therefore, it defines its target market as adults who have low or moderate incomes. And who are looking for a quick but filling meal. Therefore, they use billboards to advertise their low price and attractive deals. In addition, they feature race cars to imply they provide fast service.
- Photography Studio. Joe’s Photo Studio is in a suburban town. It specializes in wedding photography. Therefore, their target audience is adults who are getting married. They use referral marketing techniques. In addition, they run social media ads to reach individuals who are about to tie the knot. To please the customers, they offer personalized packages.
- Fashion Boutique. Pretty Dresses is a fashion boutique in New York. it has a small but beautiful showroom that offers personalized clothes. In addition, a personal shopper helps you at all times. All the clothes are custom-made. Due to the high attention to detail and good service, their products are costly. The target market for them is women between the age of 25-50 which high incomes. In addition, they target women who enjoy socializing and looking fashionable.
- Beachfront store. Beautiful Memories is a beachfront store in a coastal town. Their store is next to the beach sports supply shop where a lot of teenagers spend their time. Therefore, they target people between the age of 15-35. They have moderate to high incomes looking to relax at the beach.
Tips and Best Practices
Keep these tips in mind when implementing a targeted marketing strategy:
- Create appealing ads and social media posts. Your ads should be relative. Hire a graphic designer to help you make creative ads.
- Drive users to your website using paid searches. Find the industry keywords that your audience searches. Then, purchase paid ads on the search engine to target your customers. For instance, you run a gourmet food store. Then your keywords can be ‘premium food’ or ‘gourmet food’.
- Write educational content. Create content that educates your readers. However, ensure that the content is relatable to the products you’re offering. For instance, let’s go back to the gourmet food example. Write articles about healthy food and its benefits. In addition, you can encourage users to share their recipes and feature the best ones on your blog.
- Optimize your SEO. Go one step further and write articles on popular phrases and keywords. This will help you increase your rankings on search engines.
Targeted marketing is effective when you research. Build buyer personas and create content.
All businesses should use it.
Leverage the power of paid ads to increase your revenue.
Integrate user data into all your marketing channels. Take better advantage of your efforts.
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Which strategies do you use and why? Tell us in the comments section below!