Consumer segmentation is one of the most important things in building your business. You need to know how to segment your consumers to target a specific audience accurately. Targeting a specific audience for your products and services can increase the overall conversion rate of your business. You can get a lot of sales and profit from these targeted customers who love buying any products from your store. Here are some important things that you need to know about consumer segmentation.
What Is Consumer Segmentation?
Consumer segmentation is a practice of segmenting your consumers into groups of individuals with similar details, for example, spending habits, interests, gender, or age. All of these detailed data will be very useful and relevant for your marketing efforts after you gather information for buyer personas.
In the business-to-business marketing process, you may want to segment your consumers according to some factors, such as the number of employees, industry, location, any products that are previously purchased by the company, etc.
Audience segmentation will be very important in today's digital world. Your consumers are going to make purchasing decisions faster than ever before. Therefore, as a professional marketer for your business, you need to know how to catch your consumers' attention fast for accelerating their buying decision.
Benefits of Consumer Segmentation
Segmentation can allow you to tailor and adjust your marketing efforts to a different audience. Those efforts will be related to your communication method and product development. There are some important benefits that you will get from a good consumer segmentation. Because of these benefits, you may want to consider having an accurate consumer segmentation for improving the overall performance of your business.
1. Create good marketing messages for your consumers
When you want to target consumers for your store, you need to create good marketing messages for your consumers. Messages for specific groups of customers should be different from other categories. Your consumers will receive the right messages that are specially tailored to their interests and needs.
2. Find the right way for promoting your business
Building a good business also requires to you find the right communication channel for your business. Good consumer segmentation is very useful to help you find out the right communication channels for your consumers. Some effective communication channels are available on the Internet today, for example, radio advertising, social media posts, email, and any other approach.
3. Identify some new product opportunities
This is another benefit that you can get from a good consumer segmentation. This segmentation process will help you find the right needs from your existing and potential consumers. Once you know their needs, you can find the best products or services that can be suitable for their needs or preferences. It can help you reach a lot of customers easily, so you can stand out from your competition.
4. Price your products rightly
Different consumers may have different budgets in their pockets. Therefore, you need to compare all available groups of consumers before you decide the right price for your products. You can test some pricing options for several segments of consumers. These pricing options allow you to find out the right price structure for your market.
How to Use Consumer Segmentation to Target Consumers?
1. Start segmenting your consumers
It can be the best time for you to start segmenting your consumers. You can start segmenting your existing buyers, so you can attract them to buying any other products from you. The segments can be created based on their buying patterns and the products they purchase from your store. By doing the right segmentation process, you can anticipate their future needs, so you can show them what they need before they realize it.
2. Use popular social channels for reaching your customers
After you do your consumer segmentation, you can find out the right social channels for your customers. You will understand how and where your customers are usually looking for their favorite products or services. There are some popular social channels that you can use for promoting your products or services, for example, Instagram, Facebook, or YouTube.
3. Target your consumers based on their specific segments
It is a good idea for you to have some segments for different consumers in your company. Each consumer has its own needs, budget, or preferences. It can be a good idea for you to target them via different marketing campaigns. Don't forget to analyze the result, so you can find out the right marketing campaign for your consumers.
4. Maximize the retargeting strategy for your consumers
Many people don't buy any products or services from your store for the first time. Therefore, you may want to consider using the best retargeting strategy for your customers. Remarketing or retargeting strategies are going to use cookies for tracking your audience after they leave your website. Cookies are good to keep you running targeted ads to those people who have already visited your website. A good retargeting strategy, like the abandoned cart email, is very useful to increase your conversion rate in your business.
5. Offer unique experiences for all of your consumers in different segments
Once you are done with your consumer segmentation, you may want to consider offering unique experiences to your consumers based on their buying habits, journey, or needs. You can offer discounts, contests, or events that can offer value to your consumers. You need to know the difference between consumers and customers when offering these unique experiences. You will target consumers as the end-user of your products or services, so you can adjust your marketing strategies based on their needs or preferences.
Call to Action
It can be the best time for you to start segmenting your consumers in your business. There are some useful tools that you can use for helping you with this consumer segmentation, for example, email automation system, Google Tag Manager, Facebook custom audience tool, etc. All of these tools are very useful to help you segment your consumers based on their location, behaviors, age, and any other categories. Targeting your consumers can be easy when you can do the right consumer segmentation process accurately.
