Whether your target audience is a group of 1000 people or 1000000 people, this audience can be further broken down into smaller groups. This is done with a process known as market segmentation. And that’s precisely the process we’ll tell you all about in this post.
What is Market Segmentation?
If we’re going to cover your top questions about market segmentation, it makes sense to start with the biggest one: What is market segmentation? You already know that it involves breaking down your target audience into smaller groups. But the reasons for doing this help explain market segmentation even better.
When marketers have more detailed sub-sets to base their marketing efforts off of, they are better able to target each group effectively. For example, let’s say you have a target audience of 100,000 people. You’ve surveyed this audience and found out approximately half of them are parents. That means you can target that particular market segment in a potentially different way than your audience members who aren’t parents.
What are the benefits of market segmentation?
We know you’re better able to target your audience effectively thanks to market segmentation. Your audience will appreciate your efforts to meet their specific needs. After all, it’s not often a single marketing strategy is enough to effectively target an entire audience without considering the needs and pain points of that audience’s subsets.
But what are the other specific benefits of doing so?
As it turns out, there are several.
To name a few:
- Understanding the pain points of certain audience subsets
- Creating stronger, more effective marketing materials more likely to resonate with particular subsets
- Choosing the right marketing channels (different channels will be more effective for certain subsets)
- Spot niche markets and identify new opportunities to grow your customer base
- Establish and maintain brand loyalty
- Higher quality leads
- Higher ROI on your ad spend
What are the primary types of market segmentation?
Generally speaking, there are four main types of market segmentation. These are the models marketers use to segment their target audience based on where they fall into certain categories.
Demographic: This can include age, gender, ethnicity, income, and more
Psychographic: Personality traits and interests, values, goals, hobbies
Geographic: Segmenting your audience based on where they live at the city, state, or country level
Behavioral: This is largely based on their habits, including spending, shopping, and brand interactions
What is the best way to do market segmentation?
Now you might be thinking, “How am I supposed to find out about their demographics and other traits to use for market segmentation?” That’s where creating polls and surveys comes in! It only takes a few clicks to create and launch a survey to share with your audience and find out more about them.
Depending on which market segmentation model you want to use (ie, demographic, psychographic, etc) you will base your survey questions around what you need to know about your audience.
Demographic surveys are a great place to start if you’re diving into the world of market segmentation. In this post, we cover everything you need to know about creating demographic survey questions, including how to ask sensitive questions.
What is the MASA Rule?
Marketers follow what’s known as the MASA Rule to help them effectively target their segments It stands for Measurable, Accessible, Substantial, and Actionable. Each of these terms relates to important requirements for effective market segmentation.
Measurable: According to Marketing Insider, “Measurable means that some form of data should be available about the market segment, so that its size can be measured. You need to know how large the segment will be – in order to assess its importance for you. Measurements are highly important to be able to judge the overall attractiveness of the segment.”
Accessible: Is it actually possible to reach this segment? Are they a group who has access to the avenues you use to market to your audience?
Substantial: This relates to being sure the segment is big enough in size and scope that it’s worth targeting with your marketing efforts.
Actionable: Think of a segment and whether it’s actually “doable” to reach them and market to them. Do you have the resources and capability to do so? AKA: your market segments need to be actionable to be profitable.
How Swift Polling Can Help
For many marketers, the toughest part of market segmentation is simply figuring out how to get the information they need from their audience to further categorize them into segments. But luckily, Swift Polling takes just about all of the guesswork out of that part of the process!
Our live polling tools make it easier than ever to create and launch polls…often in just a few clicks. Then, you can distribute these polls with your audience. Depending on how you interact with your audience, this could be through emails, embedded on your website, on social media, or at events.
Learn more about why your business runs better with Swift here.