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Powerful Tips to Crack Targeting in Digital Marketing
Marketing strategies are often drawn from three basic concepts of segmentation,
targeting and positioning (STP). Market segmentation is a method of targeting
potential customers by dividing them into different groups based on what will
interest them in common through unique offerings. Market segmentation is not a
new idea, but in this blog post, we will discuss ways of segmentation in digital
marketing (DM). Segmentation can be very focused and narrow in digital
marketing and its, in fact, the strength of digital marketing. There is a saying —
half of advertising is a waste, but we don’t know which half! In traditional
marketing, we segment audiences based on simple criteria such as age, gender,
cities, and socio-economic classification. It's rudimentary. But in digital
marketing, there is no wastage as you need not reach unintended audiences, and
this is possible because of much more sophisticated targeting that you can do in
DM. You can use machine learning to reach the right audiences based on their
purchase intent and combine it with their purchase history, lifetime value,
psychographic interests, etc.
Segmentation can be done in infinite ways and it can be very confusing. Hence
for your ease of understanding, I have classified them into four buckets —
geographic, demographic, psychographic and behavioural. Each bucket has
numerous methods which I have listed below:
Geographic segmentation: Segmentation based on where the customer is located
geographically. As digital marketing is mostly done online using internet the exact
location of a customer can easily be accessed. For example, food delivery giants
noticed the areas from where they get their maximum orders, but customers were
upset due to the late delivery of food. So these companies collaborated with
restaurants and opened small takeaway or delivery outlets in those areas where
traffic was highest.
Demographic Segmentation: Segmentation based on customer’s age, gender,
occupation, income or education. Marketers can get this information from various
social media websites. For example, on Facebook age, gender, qualification is
easily available. Through LinkedIn, you can target based on Job Title, seniority,
function, company, skills, education, degree, etc.
Psychographic Segmentation: Segmentation of customers based on their
activities, interests, followings and contextual content. Marketers can infer the
psychographic interest of customers through their activities on social media
websites such as pages you follow, groups that you join, content that you engage
with, etc. For example, if users follow a page or a celebrity on Instagram or
Facebook, they get suggestions of similar pages or celebrity to follow.
Behavioural Segmentation: Segmentation of customers based on their online
behaviour, search patterns, websites visited, etc. For example, many e-commerce
websites track what product has been added to the cart by customers and
abandoned and they show ads of these products to customers to woo them back
and convert them.
Once you’ve segmented your audience into the appropriate groups, you’ll then
need to look into the best ways to focus on the different groups to catch their
attention and get them to purchase your product which is called Targeting. The
advantage of digital marketing is that instead of targeting an entire group of
customers marketers can focus on individual customers and target them
individually. This is called one-to-one marketing which is more effective and
efficient. An example of one to one marketing is on e-commerce websites when
you search for some product or save something for future purchase you keep
getting push notification through e-mail and SMS relating to those products.
A new type of targeting is ‘lookalike’ targeting. It is a method that takes existing
customers and uses artificial intelligence ‘AI’ learning methods to find new
customers who have similar characteristics and are known as lookalike audiences.
This new lookalike audience may have a higher likelihood of also being potential
high-value customers. For example, Quora for business has ‘lookalike targeting’
where if you have an account and an existing audience Quora uses machine
learning methods to find new audiences who have similar characters and activities.
This new audience has a high potential of being high-value customers.
Now finally after segmenting the market and targeting the customers the marketers
need to position their products and brand in the minds of the customers. The
positioning of a product or brand must be effective and different from the
competitors. The product should be positioned in such a way that it comes first in
the customers' minds compared to its competitors.
If you wish you can also watch
video https://www.youtube.com/watch?v=0bPcEZf19qw
Please subscribe to the channel for more awesome tips on Digital
Marketing https://www.youtube.com/c/profseemagupta
Please check my website for any help you need in Digital Marketing in consulting,
training and agency http://www.profseema.com/

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Powerful tips to crack targeting in digital marketing

  • 1. Powerful Tips to Crack Targeting in Digital Marketing Marketing strategies are often drawn from three basic concepts of segmentation, targeting and positioning (STP). Market segmentation is a method of targeting potential customers by dividing them into different groups based on what will interest them in common through unique offerings. Market segmentation is not a new idea, but in this blog post, we will discuss ways of segmentation in digital marketing (DM). Segmentation can be very focused and narrow in digital marketing and its, in fact, the strength of digital marketing. There is a saying — half of advertising is a waste, but we don’t know which half! In traditional marketing, we segment audiences based on simple criteria such as age, gender, cities, and socio-economic classification. It's rudimentary. But in digital marketing, there is no wastage as you need not reach unintended audiences, and this is possible because of much more sophisticated targeting that you can do in DM. You can use machine learning to reach the right audiences based on their purchase intent and combine it with their purchase history, lifetime value, psychographic interests, etc. Segmentation can be done in infinite ways and it can be very confusing. Hence for your ease of understanding, I have classified them into four buckets — geographic, demographic, psychographic and behavioural. Each bucket has numerous methods which I have listed below: Geographic segmentation: Segmentation based on where the customer is located geographically. As digital marketing is mostly done online using internet the exact location of a customer can easily be accessed. For example, food delivery giants noticed the areas from where they get their maximum orders, but customers were upset due to the late delivery of food. So these companies collaborated with restaurants and opened small takeaway or delivery outlets in those areas where traffic was highest. Demographic Segmentation: Segmentation based on customer’s age, gender, occupation, income or education. Marketers can get this information from various social media websites. For example, on Facebook age, gender, qualification is easily available. Through LinkedIn, you can target based on Job Title, seniority, function, company, skills, education, degree, etc. Psychographic Segmentation: Segmentation of customers based on their activities, interests, followings and contextual content. Marketers can infer the
  • 2. psychographic interest of customers through their activities on social media websites such as pages you follow, groups that you join, content that you engage with, etc. For example, if users follow a page or a celebrity on Instagram or Facebook, they get suggestions of similar pages or celebrity to follow. Behavioural Segmentation: Segmentation of customers based on their online behaviour, search patterns, websites visited, etc. For example, many e-commerce websites track what product has been added to the cart by customers and abandoned and they show ads of these products to customers to woo them back and convert them. Once you’ve segmented your audience into the appropriate groups, you’ll then need to look into the best ways to focus on the different groups to catch their attention and get them to purchase your product which is called Targeting. The advantage of digital marketing is that instead of targeting an entire group of customers marketers can focus on individual customers and target them individually. This is called one-to-one marketing which is more effective and efficient. An example of one to one marketing is on e-commerce websites when you search for some product or save something for future purchase you keep getting push notification through e-mail and SMS relating to those products. A new type of targeting is ‘lookalike’ targeting. It is a method that takes existing customers and uses artificial intelligence ‘AI’ learning methods to find new customers who have similar characteristics and are known as lookalike audiences. This new lookalike audience may have a higher likelihood of also being potential high-value customers. For example, Quora for business has ‘lookalike targeting’ where if you have an account and an existing audience Quora uses machine learning methods to find new audiences who have similar characters and activities. This new audience has a high potential of being high-value customers. Now finally after segmenting the market and targeting the customers the marketers need to position their products and brand in the minds of the customers. The positioning of a product or brand must be effective and different from the competitors. The product should be positioned in such a way that it comes first in the customers' minds compared to its competitors. If you wish you can also watch video https://www.youtube.com/watch?v=0bPcEZf19qw
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