Market Segmentation: Selling to Different Customers

Segmentation

photo via Flickr

 

If you’re marketing to everyone, you’re marketing to no one.

 
One common struggle for B2B companies when going B2C is segmentation, which is a fancy way of saying they struggle marketing their product to different consumers. Different strategies have proven more effective with different demographics—specifically location, age, gender, occupation, education, and income, for example.
 

Where to Reach Your Target Market

Facebook reaches a younger crowd, but not as young as you might think. As more and more older people get on the network, there is an inverse relationship with younger users leaving the network. This phenomenon is best explained by the fact that teens are seeking privacy—and by populating lesser-known social networks, they can avoid the scrutinizing eye of their elders. Still, it was perceived by the media as a surprise when Facebook publicly announced a significant daily decrease in teen users of their global social network.

However, the most surprising Facebook statistic might just be that 86% of Facebook users are outside the United States. Instagram and Pinterest are dominated by women, while LinkedIn and Google+ skew towards more male users.

Depending on what your product or service is, a social network other than Facebook might work better for you in reaching your target demographic.
 

How to Sell to Them

Some trends emerge when looking carefully at the buying patterns of certain demographics—trends that might not be all too surprising. First, you have to know your market, and the most important thing to consider here is geographical location. For instance, you would not want to advertise to people in North Dakota if your delivery service is not available in that state. While this may seem very obvious, often due to the global reach of the Internet, advertisers aren’t aware that their message is being displayed to individuals in areas that they don’t service. A simple way to avoid this is to geographically target your ads.

Sometimes a company’s product may even change depending on the area. A common finding is that people in certain geographical markets prefer certain flavors more than customers in different geographic markets.

Younger people are more likely to purchase high-tech products first because they are often more open to trying new things. Therefore a large retailer that carries a variety of products might benefit by sending ads focused on high-tech products to younger customers. However, if you’re not creating some new gadget, don’t worry. Baby boomers number 76 million in the United States and spend more than any other group so there is still a sizable market.
 

How You Treat the Customer Matters Most

One thing that transcends demographics is an appreciation of customer service. People want to feel valued and taken care of at the end of the day. Customer service is what will keep them coming back, and perhaps even increase the price point a customer is willing to pay. Approximately 80% of Americans say they would pay more for a superior customer experience.

A B2B company makes a sale once to a large distributor, but for a B2C company, sales have to be made over and over again. Good customer service is the best marketing tool a company can have across all demographics.

 
Kimberlee Raymond is the Social Media Coordinator at Highly Relevant. In addition to all things social media, she enjoys keeping up with the latest tech trends and fashion blogs.

Leave a Reply

Your email address will not be published. Required fields are marked *