Once you've identified your target market it's time for segmentation. The customer segments consist of various subgroups within your market, usually determined by their common desires and needs. Consumers are now more empowered and demand personalized messages from brands, which is why segmentation is more essential than ever before.
In the majority of companies there are different types of clients who may be interested in the services or products you provide. The method of segmentation involves the identification of these various groups and then establishing your brand to each of them.
Let's look at some of the more popular ways that marketers use to identify their customers:
Demographic segmentation is one the most fundamental methods that includes dividing people into groups based on aspects like age gender, marital status and education level and religion or income, race and size of family. It is one of the simplest and most efficient to gather and analyze, so it's not surprising that the majority of companies are able to segment their clients using (at at the very least) demographic data.
Geographic segmentation refers to the segmentation of your market by their region, country or state. For certain situations, especially for smaller businesses it could be advantageous to break down to the locality, city or zip area. However, it isn't only focused on the location of your customers. Geographic data considers the climate, urbancity and culture of your targeted market, all of which will have an impact on the marketing strategy you choose to implement.
Behavioural segmentation consists of splitting your target audience according to the magazine information you've collected from their previous interactions with your brand, whether it's online through your website, in your app, or on how they behave in stores. Knowing this information provides your business the benefit of knowing what happens when and how to improve the experience of your customers. Any conclusions and choices you take as a result are based on actual facts, not assumed to be.
Psychographic segmentation concentrates on the personality of your audience's traits, values, hobbies and lifestyle choices, their opinions and motives. These kinds of data are usually collected through focus groups or surveys, interviews and cases studies. Understanding the vastly different demands and needs of each sub-group and then utilizing this information to your marketing strategies is essential to achieve greater conversion rates.
As a marketer, if you have an understanding of all of your customer segments you can define goals and formulate ideas that focus on your customer's needs. This will help you make only highly specific campaigns that can achieve maximum effect. Customer segmentation is a key element in the entirety of your business's marketing strategy.
As we're talking about the issue of segmentation of customers it is sensible to talk about the sale funnel. Sometimes , it's referred to as"the marketing funnel" or buyer's journey this funnel the route taken by potential buyers that ultimately leads to buy the product. It is believed that marketers cast their nets' and pull as many leads as they can to the channel. They then gradually cultivate these leads through different phases, and eventually making some customers. In a perfect world the funnel would be more like a cylinder which would result in every lead turning to a buyer. However in the tangled world of sales and marketing however, this isn't possible, which is why you get a decreasing funnel.
What Does the Sales Funnel Have to Do with Marketing Strategy?
An organized sales funnel is the top priority for all marketers. It can provide valuable insight into the thinking process, obstacles and the decisions being made by potential customers. In addition your communications with your customers must be quite different according to their current stage of your sales funnel. This has a significant impact on the marketing content as well.
Knowing the details of your sales funnel can reveal the places where your customers are falling out and not converting. This crucial information will enable you to develop a strategy to prevent any losses that could be incurred.
Each step of the customer journey needs an approach that is different from that of the marketing professional if they wish to guide customers through the funnel. The most important thing you don't would want to do is deliver a message to the wrong person at the wrong moment.
It is important to remember it is important to note that the sale funnel, or buyer's journey does not have an exact model that can be applied to all customers. It is different from one brand to the next and there's not a one-size-fits-all model of the funnel. There are some that have different stages and provide each stage with a unique title, but the basic concept remains the same. And the idea that runs through it all is providing your target audience with content for marketing that is relevant, timely and relevant.
With that in the back of our heads, lets take a an look at the typical five-stage journey that your customers might experience with your brand. From initial awareness to becoming a faithful, paying customer:
1. Awareness
In the beginning you can be sure that the people you want to target have never heard of your business prior to now or even of the products or services that you provide. This is when potential customers realize they're in trouble and are learning about the issue by conducting investigation. It is commonplace to see people use an online search engine such as Google at this point and then type different aspects into the search box to seek assistance. Take a look at these examples and discover how they can be used to benefit each of the businesses listed:
As marketer, you must to ensure you've got useful relevant content that is highly ranked for the terms and keywords your potential customers may be looking for at this point in time.
Alongside Google Search, you can generate leads by using other methods of generating awareness whether it's a tweet or a targeted Facebook or LinkedIn blog, trade shows and webinars, advertising and PR or whatever method is most effective for you and your company.
Based on the nature of the products or services, and the background research the customer has conducted and also how effective your content is, this first phase of awareness could result in a sale in a matter of minutes.
However, for the vast majority people, the journey isn't over...
2. Consideration
In this phase of your client's journey, they've identified what is the issue and would like to know all possibilities for solutions. They're aware the product can be a viable option, but your potential customer requires more research and evaluate costs and the suitability of your product.
Your communications with your intended audience today must be as informative and informative as is possible. Be careful not to be too pushy, because this could create pressure and cause them to leave. You must highlight the main difference of your product or service over competitors and aid them in making an informed choice. Pricing guides, case studies as well as comparison-style checklists and webinars are just a few examples of the most important pieces of content we as marketers must provide during this stage of consideration.
3. Decision
If your potential buyer has reached the decision-making stage, they're about ready to buy. They have narrowed their options to about two or three options, including you most likely! Consumers will combine all their research to decide what option is the best solution for their needs with the best price.
The content at this point in the sales funnel is intended to increase confidence of your prospects of your service or product. They've made it to this point, and they've already decided that they're in a good position However, now you have convince them that you're the most effective choice.
Reviews and testimonials from customers are extremely effective in this phase of the sales funnel. They can be combined with FAQs, product demonstrations and a trial offer competition comparisons and discounts.
4. Retention
If your prospect is at the point of retention it is a sign that they have purchased from you and you've made them a client. However, the journey doesn't stop at this point. As marketer, it is your responsibility to think about how you can transform this one-time purchase into ten or turn this monthly subscription into an annual one what ever defines loyalty to customers for your company.
It's an established fact that keeping a customer will cost a company less than purchasing a brand new one. For the majority of businesses it's about the value of your clients and not about the number of customers. Returning customers who are loyal and loyal are where you can earn the highest profits.
At this point you should begin improving the relationship by assisting your clients benefit from the service or product they bought from you. Contacts or emails to express your appreciation for their purchase, and to ask for their feedback is a wonderful method to show your appreciation and address any issues that might arise.
If your service or product needs some type of setup, the onboarding process you have in place that guides customers through the process can also assist in keeping your customers satisfied.