Direct Mail

Target Marketing Strategies

By 26 February 2024April 17th, 2024No Comments
target marketing strategies

Best Target Marketing Strategies to Connect With Customers and Grow Sales

Businesses seek fresh and creative methods to find their ideal audiences. They employ target marketing strategies to connect with specific groups who might be interested in their offerings.

target marketing strategies

Your company might be a B2B SaaS brand targeting other businesses that need an accounting solution. Or you might own a retail store selling beanies, sweaters, and other warm items.

Knowing your target markets is crucial, irrespective of what you do or sell. You must understand who needs your products or services. Then, you can present the brand’s offerings to this audience accordingly.

For instance, you can use neighborhood mailings once you learn the target audience lives in specific localities. This target marketing strategy enables connecting with those interested in buying the items.

We discuss how to identify target markets and advertise the products and services. Also, we discuss the best examples, tips, and tricks to make these goals come true.

You can use these targeted marketing strategies to save money and effort since you will channel the activities to the ideal groups.

What is a Target Marketing Strategy?

Target markets are groups of people businesses want to connect with and share marketing messages. These are the customers who might purchase the brand’s items or services. They share a common trait or interest, like behaviors and geo-demographics.

You must clearly define your buyer personas to understand the ideal markets and how to reach them. It answers, “How to reach the target market with marketing strategies?”

Firms can initiate these strategies with broad categories, like single parents or Gen Z buyers. However, they require more minute details to boost responses and conversions. Please do not refrain from being specific, thinking you won’t get many buyers. Instead, approach it as an essential tool to target the correct people and increase sales.

The result of targeting ideal markets is always positive. Others who don’t fit your buyer personas can still purchase your products or use the services. The target marketing strategy lets you focus on one group but sell to everyone.

Please base your target markets on primary and secondary research instead of gut feelings to make your targeted marketing strategies successful. Contact people who have a motive to purchase from you, even though they aren’t the ones you thought would be interested.

What Does Target Market Segmentation Imply?

Target market segmentation involves categorizing target audiences into specific groups. Thus, businesses can curate relevant and personalized messages for each, understanding their needs and offering solutions.

Since you cannot send the same messages to everyone (because it would not generate results), a target marketing strategy lets you create unique ones. You can resonate with people’s problems and only offer solutions that best solve them!

Imagine your target audience is vegetarians who like to consume fast food.

Though you might think only vegetarians are your target audience, others might also purchase from your brand. It is when market segmentation helps!

The targeted marketing strategies you use for market segmentation apply to everyone likely to be the buyer.

You might be surprised that 50% of the buyers are non-vegetarians – though you run a vegetarian fast-food restaurant. This information would result in you creating relevant strategies for both groups instead of assuming that only vegetarians would be interested.

Similar tactics apply in the retail sector. Imagine you run a boutique for men’s styling. Only the right target marketing strategies can help you understand that the brand must connect with men and women.

Since many women want to buy shirts, t-shirts, and watches from men’s clothing stores, targeting them is a solid tactic.

PostGrid’s direct mail services allow you to compile segmented mailing lists based on your buyers’ traits and demographics. You can also select specific locations to send offline marketing mailers and get high response rates.

PostGrid offers custom mailing lists, like the doctors’ lists, new homeowners’ lists, etc. Hence, you can contact people based on their profession, income, age, gender, and other factors, making your targeted marketing strategies profitable.

Also, we help design, print, and ship items to target markets, boosting your brand reputation and accelerating revenue generation.

Target Markets: Examples

Here are some common target markets you can focus on to get higher responses:

Demographics

Demographic segmentation is among the best ways of implementing a target marketing strategy for your business’s growth.

Most firms define their ideal markets based on demographics, like

  • Income level: They determine the average incomes of most buyers. For example, people who purchased their items in the past year earn $60,000 to $100,000. You can create customer lookalikes by considering this trait.
  • Gender: Some brands are solely for one gender. However, identifying and targeting interested buyers based on their sex can be profitable for almost all businesses.
  • Household size: Learning whether prospects live alone or with their families allows you to send relevant messages. You can promote an ultra-sized meal your restaurant sells to larger families and affordable, singular dishes for those living alone. It makes a broad difference to your sales techniques.
  • Age: The person’s age is among the primary factors that decide whether they fit your buyer persona. You can use your target marketing strategies to filter customers based on this demographic to avoid spending money on those who might never buy from your business.
  • Profession: Segment audiences based on their professions to know their interests. For instance, pharmaceutical companies target doctors or physicians to sell products. Businesses that manufacture smart-learning devices contact schools and universities to boost awareness. Similarly, you can categorize targeted markets by their employment, primarily if your company is B2B.

These are only a few examples of demographic market segmentation. You can employ more segments for a successful target marketing strategy – based on your buyer personas.

Also, please note that demographic segmentation usually interests B2C businesses, with some exceptions (like professional categorization).

Personal Beliefs

People make many purchase decisions based on their cultural backgrounds and religious beliefs. Hence, consider them a significant factor when dividing target markets.

Beliefs and values also make curating targeted marketing strategies faster and more efficient.

Firmographic

Firmographic segmentation is similar to demographics but suits B2B businesses only. Most B2B brands rely on firmographics, involving databases of their targeted companies and professionals.

Firmographic segmentation helps define groups of businesses instead of people or individual buyers. You can categorize them based on:

  • Industry
  • Niche
  • Annual company revenue
  • Funding
  • Shareholders
  • Location
  • Size
  • Number of employees
  • Type of customers

Use your targeted marketing strategies to learn more about prospective brands and how to target them. The above data lets you build your ideal customer profile (ICP) and determine whether specific businesses might purchase your products or services.

Fortunately, PostGrid also offers custom mailing lists for firmographic segmentation to B2B brands, keeping them updated on targeted businesses before launching marketing campaigns.

Geographic

Tailor campaigns based on where most customers and prospects reside. You can only expect people living in nearby localities to visit your brick-and-mortar stores.

Narrowing down target markets considering the locality, street address, city, state, and country is essential.

It ensures your target marketing strategy’s success, getting you a higher return on investment (ROI).

Divide target markets using these factors:

  • Time zone
  • Local events
  • Urban vs semi-rural vs rural
  • Weather conditions
  • Language
  • People’s local preferences
  • Proximity from the city
  • Proximity to stores, restaurants, subways, etc.

For instance, you cannot sell warm puff jackets in Miami neighborhoods with temperatures above 20 degrees. However, you can shift your focus to states like Alaska, Montana, North Dakota, etc.

Lifestyles and Hobbies

A person’s lifestyle, interests, personality, and other traits can impact purchase decisions. Thus, consider them to tailor messages and use targeted marketing strategies for the correct purpose.

The best way to use this segmentation type is to create your ideal customer lookalike.

It could be a man in his early 40s who likes beverages and consumes them at least six times weekly. Or your buyer profile could look like a student who spends most of their day in the library.

These profiles can drastically differ for companies in the same sector. Hence, prepare to create a unique ICP and tailor the targeted marketing strategies accordingly.

Behavioral

Firms collect behavioral data whenever buyers or prospects engage with their brands in some manner. They might record the email or call interactions. Or they might track the social media engagement ratios.

Here are some examples:

  • Content downloads
  • Chatbot history
  • Email replies and clicks
  • Social media likes and comments
  • Website browsing time
  • Purchase history

These behavioral traits tell you how much a buyer can pay for the item. They also demonstrate the interest level, letting you customize your offers. Use this data after learning, “What is a target marketing strategy?” It enables you to only connect with those responding to the brand’s messages and expressing their willingness to close deals.

Broad Segments Under Your Targeted Marketing Strategies

Many ask us- “What are the three broad targeting strategies used by marketers?”

Though businesses focus on only three targeted strategies, the top-rated brands use four. They include

Undifferentiated Marketing

Undifferentiated or mass marketing revolves around advertising and selling items to a broad audience. Businesses that use this tactic forego the segmentation rules and improve their appeal to the masses.

Some common examples include manufacturers of washing liquid, toothpaste, spices, and garments. Telecommunication and gas companies also leverage mass marketing to a significant extent.

Thus, these businesses can use the undifferentiated target market strategy- wherein all buyers are one. They don’t send different messages to every group based on the above segmentation styles. Instead, they focus on mass production and distribution.

This strategy works for specific business types because their products have mass appeal. Most people regularly use these items out of necessity and sometimes luxury.

Yet, the brand doesn’t need to put in efforts to tailor messages for every target market.

One excellent example is IKEA. It sells to everyone because of its broad product range. Since it doesn’t deal with a single item or collection, everyone can visit and purchase something (whether big or small).

IKEA has something for everyone, making its target marketing strategy undifferentiated. It can put up the same posters countrywide and get sales. Of course, it can still tailor some advertisements based on the location, like adding a QR code to the posters that lets people get a map from their doorstep to the nearest IKEA store.

However, IKEA might leverage similar marketing approaches and materials for everyone.

Many couples and families make IKEA store visits a day-out event, irrespective of their religious beliefs, hobbies, or demographics. Hence, this Swedish brand can benefit from a mass target marketing strategy and get positive outcomes.

Another thing to remember is how you approach direct mail and other marketing strategies under the undifferentiated method. There is a concept of reach vs frequency for offline mailing marketers.

This concept explains how marketers can send their printed promotional materials to a broad audience or repeatedly send them to a small group of potential customers. However, undifferentiated targeted marketing strategies call for them to send the mailers to as many people as possible for optimal results.

Again, PostGrid lets you print and mail in bulk, assisting you in conducting undifferentiated or mass marketing campaigns!

Differentiated Marketing

It is also known as the segmented marketing strategy. Businesses use this tactic to target different market segments for their unique product lines.

They segment their audience into many categories to leverage a target marketing strategy and offer customized solutions to every group. It helps the brand get a higher market share in every sector instead of getting the profit in bits from mass production.

This strategy lets you use the market segmentation examples discussed above to treat every audience group as separate. Thus, you can personalize all communications and sell different products or services based on their requirements.

However, such target marketing strategies require innovation, development, and research skills to satisfy defined market segments. Also, it is costlier than the undifferentiated promotional techniques.

Yet, differentiated marketing is highly safe because you can profit from one segment if the other fails. It brings income stability and lets you capture more markets.

Let’s take Nike as an example. Its target audience could be trainers. However, it promotes to gym-goers, cyclists, athletes, weightlifters, runners, fashion influencers, celebrities, outdoor enthusiasts, or simply people who like footwear styles.

Expanding market segments for Nike has been successful because at least one group will buy its products. The shares might increase or decrease, but it will always have a steady income.

This target marketing strategy takes time to plan and launch because the firm must customize messages and products to suit every group’s needs.

Unlike undifferentiated marketing, the differentiated strategy has the advantage of avoiding audience over-exposure. You only send messages to selected people and markets, restricting issues with your competition.

Let’s return to the marketing approach businesses can take under the differentiated strategy. You can leverage prioritize frequency overreach during your mailing campaigns to increase the number of touchpoints and convert prospects.

Repeatedly mailing the same prospects helps grab their attention and motivate them to engage with your offers.

Concentrated Marketing

Niche or concentrated marketing is helpful to businesses that sell high-intent items. They might also be selling high-ticket products that only a few buyers purchase.

The concentrated target marketing strategy lets firms focus on a broad part of one or a few niches. They concentrate their advertising efforts on some segments to get the most out of them and earn high revenue.

This approach enables you to achieve a better market share and inculcate brand loyalty among niche buyers. Learning the customers’ exact expectations and demands under this strategy is significant.

Though the strategy works well for high-intent buyers and highly-priced products, other businesses can use it to save money on marketing and get higher returns.

One reputed brand that uses concentrated marketing is Lush. This eco-friendly cosmetics manufacturer highlights that it works on reducing its carbon footprints.

Also, this brand is highly vocal about environment conservation and manufacturing recyclable products. The homepage alone has many messages on how buyers can select nature by choosing Lush’s items.

Lush’s target marketing strategies focus on raising awareness about animal testing, climate change, and plastic packaging overuse. And it is how they have created a niche.

It uses concentrated marketing to connect with those fighting against these environment-related issues. You might notice how it coincides with one of our listed segmentation styles based on beliefs and values.

Though Lush doesn’t rely on traditional marketing, it is still reputed for its word-of-mouth publicity. Also, its top-notch social media game allows it to spread publicity about all eco-friendly initiatives, attracting people with a similar mindset.

However, Lush cannot guarantee that all buyers advocate for environmentally friendly items. It is a high-street and digital brand with products available to all customers. This brand doesn’t know whether non-vegans support the cause or want to buy from it.

Yet, Lush uses niche target marketing strategies to focus on its prospective customers. This method opens new personalization opportunities and reduces competition. Also, it lets the brand get innovative to cut costs and increase loyalty.

Micromarketing

Micromarketing is among the most efficient targeted marketing strategies that enable you to focus on a small segment within niche markets.

It is similar to differentiated marketing styles but more specific and sophisticated.

Businesses use this approach to produce custom messages and products suiting the taste of one buyer or group. Instead of mass production, they manufacture items to satisfy the requirements of their most prestigious or recurring customers.

You may divide micromarketing into two sections:

Local Marketing

Micromarketing uses demographic segmentation to understand its market and curate a target marketing strategy to fulfill the prospects’ needs.

Local micromarketing involves providing items or services based on a consumer group’s requirements. Businesses might consider demographics, like income level, age, gender, ethnicity, etc., to conduct this target marketing strategy or campaign.

This micromarketing style targets micro-segments. Imagine your audience consists of people between 25 and 45 years. You can divide the market into two based on the gender. Also, you can use the targeted location to segment it into six.

These six micro-segments allow you to micro-personalize and curate products for their unique requirements. Yes. This target marketing strategy is expensive compared to undifferentiated and niche advertising styles.

Also, local marketing suits businesses, like restaurants, dental offices, supermarkets, boutiques, etc., that only target prospects based on the place. PostGrid’s direct mail API can enable you to create neighborhood mailing lists to conduct such campaigns on a localized micro-segment level.

Individual Marketing

It involves providing relevant products and services based on individual buyers’ preferences. Since firms must customize offers to suit a single person’s requirements, this marketing approach takes time and effort.

One example is Groupon, one of the most popular discount coupon websites. Its hyper-personalized targeting approaches allowed it to contact people based on their online user activities.

Groupon’s target marketing strategy is to track users and send tailored deals and content.

Many refer to individual marketing as mass customization or one-to-one promotions. And what better advertising channel than direct mail to directly connect with the decision makers?

Direct mail is an excellent tool for conducting individual or one-to-one marketing because you eliminate secondary channels and directly reach the person’s doorstep. Businesses leverage the postal services to send physical mailers to customers’ households or offices. It lets them raise brand awareness, get responses, and boost emotional connections!

These are the four categories of targeted marketing strategies your business can leverage.

Mass marketing is the most inexpensive strategy but only suits a few industries. You should be selling a push product or service that sells itself.

Select differentiated or concentrated marketing if you want to take a specific or personalized approach. These tactics allow you to focus on only your niche markets and accelerate results.

How to Create Target Markets and Promote Your Brand?

Your targeted marketing strategies let you take advantage of niche markets and channel your efforts in the right direction.

Here are some strategies to boost publicity and reputation within your target markets:

Online Advertising

Paid advertisements allow you to increase online visibility and get leads. This tactic ensures your targeted customers see the brand’s ads and take action.

They might visit your website or browse the items in an online store.

You can display paid ads on search engines or in the form of banner ads. Also, you can show them short marketing clips between YouTube videos to grab attention and educate people about your products and services.

This target marketing strategy lets you make a solid online presence and access qualified leads. You may contact these prospects and take them ahead of their buyers’ journeys.

Email Marketing

Promote email newsletters using a specific spot on all website pages. They prompt visitors to sign up and get regular communications via the brand.

Try sending weekly or monthly newsletters with discounts, event details, product information, and the latest news to establish yourself as an industry leader. It lets you make a soft spot in your prospects’ and customers’ hearts for educating the masses. They might consider you a verified resource to get data.

Email target marketing strategies work well because they are convenient and affordable. You can create customer loyalty and offer buyers a reason to buy from you through the newsletters. Please remember to personalize and add first-hand information to stay relevant and authentic!

Content Marketing

Blogging, infographics, ebooks, whitepapers, video content, etc., are popular content marketing formats.

They allow you to present shareable data to your targeted customers.

Content-related targeted marketing strategies work when you post relatable, understandable, and informative data. You can shoot videos of your customers talking about the product or service.

Or you can post images of your latest product lines for a niche audience, inviting them to get samples and place orders. To further engage your target audience, consider creating a visually compelling introduction video using an intro maker tool to showcase your products in action and provide a dynamic first impression of your new products.

Direct Mail Marketing

With direct mail marketing, you can send offline newsletters via physical mail to avoid customers moving your emails to their spam folders. Also, many users might never open and read these online messages because they already have a thousand more to go through and respond.

Owing to the increasing digital clutter, direct mail is the best target marketing strategy for all businesses. It is memorable and personal! Furthermore, it allows you to connect with the decision-makers 1:1, eliminating hassles and increasing your chances of converting them.

Direct mail comes in many formats, like newsletters, postcards, letters, and flyers. You can choose one to suit your needs, budget, and marketing objectives.

PostGrid’s automated direct mail services enable you to design, print, and distribute your physical mailers online. We let you choose your preferences and place orders through our API, dashboard, or software.

It simplifies conducting targeted marketing strategies and motivating prospects to become paying customers.

 

How Can PostGrid Help You Send Offline Mail Under Your Target Marketing Strategy?

PostGrid combines the benefits of direct mail with technology. Here are some of the advanced and most helpful features businesses use to boost their targeted marketing strategies and ROI:

List Compilation

As discussed above, PostGrid lets you compile lists to suit your demographic, geographic, and other segmentation needs. Thus, you can print and mail promotional items to your targeted audience without having in-company contacts.

We help businesses connect with people most likely to become buyers through custom mailing lists. Hence, they can save time, effort, and money while implementing target marketing strategies and getting optimal results.

Address Verification

Our address standardization and verification capabilities let you cross-check all delivery addresses before sending mailers. You can compare your databases with the USPS CASS and NCOA files to learn whether they have valid details.

If not, PostGrid automatically corrects the records and verifies the delivery addresses for mailing and other purposes.

High-Quality and Personalized Printing

Variable data printing helps send personalized items to every buyer. Thus, you can strengthen bonds with prospects and customers by only contacting them with unique messages that highlight their problems and potential solutions.

This target marketing strategy produces the most results because you can impress people and make them loyal buyers. PostGrid’s print and mail API brings this tactic to life!

Tracking and Analytics

A target marketing strategy may only work for your brand sometimes! Hence, testing is essential to understand its value and impact.

PostGrid lets you track all sent items to stay informed about your campaign’s progress. Thus, the staff can contact the recipients to follow up on the proposed deals and get conversions.

Also, you can access timely reports and campaign insights to check how well your campaign has performed.

PostGrid lets you add QR codes and pURLs to your offline printed mailers to track responses and present adequate data on the campaign’s performance and timeline.

Request a demo for more details on curating profitable target marketing strategies with PostGrid!

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