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‘Companies know that they cannot satisfy all consumers in a given market. At least they cannot satisfy all consumers in the same way: there are too many different kinds of consumers with too many different kinds of needs. And some companies are in a better position to serve certain segments of the market than others.’

Kotler et al (1999)

Who are you targeting? How are they segmented?

Targeting is critical to achieving almost every marketing objective. A dull message to the right audience will always prove more cost effective that a brilliant message to the wrong one.

1. Who are you targeting?
   
   
   • Existing customers (or consumers) from a particular segment?

     Existing customers will always be your best prospects. They are between 3 and 8 times more responsive than otherwise identical people who are not customers. Next best are enquirers who have not bought. They are about twice as likely to reply. Test each category before renting outside lists.

     (See your loyalty/retention strategy)
     
     

   • New prospects?

     Prospects that 'look like' your most profitable customers?

     (See your recruitment strategy)
     
     

   • Lapsed customers?

     (See your reactivation strategy).
     
     

   • Repertoire customers?
     
     
   • Intermediaries (including retail staff and/or their sales force)?
     
     
   • Other stakeholders?
     
     
   • The brand's own sales force?
     
     
   • Or do you need a referral strategy to convert clients into advocates?
     
     
2. Create a persona for each of your target audiences.
   

   How will you segment and profile your target audience personas?
   
   

   • Segment by demographics  (B2B or B2C).
   • Segment by their usage? (for example they might be heavy, infrequent and loyal users or light, occasional and promiscuous)
   • Segment by their lifestyle? (for example, people who visit National Trust properties, or people who buy branded goods).
   • Segment by their geodemographics? (for example, people who live in areas with large numbers of people of non-British origin, or people who live in up-market residential neighbourhoods).
   • Identify their needs (consumer needs or business needs)
   • Develop behavior-based profiles.
     
     
     • A consumer profile.
     • A business customer profile.
       
       
3. What are needs of this audience (as regards your product, service or brand)?

   What problem of theirs can your brand help to solve?
   
   

4. What is their buying behaviour?

   Consumer buying behaviour

   Business to business buying behaviour
   
   

5. Can you produce a pen portrait of them? A customer journey?
   
   
6. If you are recruiting, do they 'look like' your most profitable customers?

   Does your target audience have similar variables (consumer variables or b2b variables)?
   
   

7. How can TGI be valuable in understanding or targeting your audience?
   
   
8. How might data analysis improve your insight and/or your targeting?

   For example:

   • Do you have responders to previous campaigns flagged on your database?
   • What do you know about them?

     For example what are their usage levels (e.g. frequency and weight of purchase)?

     Or take pack size for example. By knowing what pack size they are buying, you could test incentivising a segment of your audience, for example, to trade up.

   • What about demographics, or geographic or behavioural characteristics?
   • Do you have or can you buy data that lists customers of your competitors?
     
     
     

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A pen portrait will help the Creative team to better understand who they are talking to.

See also

• How to define your audience
• Your targeting strategy.
• If you are using a market segmentation strategy divide your audience up according to relevant (consumer or B2B) variables.
• Look at the needs, influences and wants of your target audience.
• Select the most promising (potentially profitable) segments of the market (marketing targeting).

  These may, for example, match the profile of your best customers.

• Develop a marketing mix that will most profitably and competitively serve and satisfy the target segments (market positioning).
• Develop your media neutral strategy.