Segmentation allows the firm to better satisfy the needs of its potential customers.
More customers and sales for your business with internet marketing How to use Psychographics to improve Demographic market segmentation in General Business Marketing Marketers use demographics to segment customer groups by various physical or tangible characteristics.
In B2C companies marketers would typically use demographic characteristics such as age, gender, income, geography, home ownership, marital status, etc. B2B companies would typically use demographic characteristics of industry classification, revenue, employee count, etc.
Marketers have depended on and used demographic market segmentation forever. There are demographic data available from many sources to slice markets into infinite possibilities of demographic segmentation relative to target markets for various products and services. But, does demographic data really provide the most relevant analysis to find and target specific groups of buyers?
Probably not as well as many businesses and marketers would like. Demographics provides information on who typically buys or will buy a particular product or service based on tangible characteristics.
Psychographics provides more insight into who is most likely motivated to buy. Combining the demographic and psychographic views can provide much improved targeting and effectiveness for marketing and sales. From a marketing perspective, demographics define what buyers commonly need whereas psychographics define what buyers want.
Psychographics identifies aspirational behaviors that are much more powerful drivers than physical demographics. But marketing to their aspiration to be a store manager relative to their current situation would be much stronger. Similarly a small company in the electronics industry may have aspirations to be a market leader for a particular type of high power capacitor.
Again marketing and selling to the aspiration within their current context would be more effective than treating them like just another small electronics company. You will need to do some research to obtain psychographics relevant to your business and market circumstances.
Social media participation with your customers is another excellent source for gathering psychographic insights about your customers and prospective buyers.
Doing some research yourself provides valuable data and analysis to differentiate you from competitors and connect more specifically with customers and buyers in target markets, rather than just using the same demographic data everyone else does.
How to use this information to benefit your business How does your business segment customers and buyers for marketing and sales? How do you use this data and how effective has it been?
Adding psychographics to typical demographic data will significantly improve the effectiveness of your marketing and sales efforts. Whenever you meet with customers or buyers always think about their psychographics: What are the psychographic influences that made them buy or will make them buy?
What psychographic data or insights can you take away to use for better marketing and sales targeting? Email, Print, Bookmark or Share it:Jun 29, · This allows you to create selling points for various market segments, making your marketing more powerful.
Segment by Family. Families come in . Start studying Marketing Ch 9: Segmentation and Target Marketing. Learn vocabulary, terms, and more with flashcards, games, and other study tools.
• Target market = the segment your firm chooses to serve. • Segmentation Process has 3 parts. -Geographic-Demographic-Psychographic-Benefits .
Create A Description Of Your Family As A Market Segment Using Geographic Psychographic And Demographic Factors Segmentation and Target Market Paper MKT/ Segmentation and Target Market Paper To obtain success, and then retain success, organizations need to determine which market segments to focus (Kotler & Keller, ).
Know Your Target Market Family status. List each product or service along with its respective target market(s). Include your marketplace research: your competitors, geographical boundaries. Jun 28, · The phrase "a demographic" is a slang term that refers to demographic segmentation, one of the common strategies companies use to segment markets.
A . Demographic and Background Characteristics This subsection summarizes background characteristics of respondents. of its panel members. Demographic characteristics include gender, generation, race and ethnicity, education, geographic region, and marital status.
For these previously compiled the Committee on Marriage and Family Life of.