With the COVID-19 lockdowns across the globe, you may have realized by now that your current and future Consumers scattered across time, geography, and a plethora of digital platforms.

A thorough grasp of your audiences and how they spend their time is one of the best strategies to give a boost to your online store.

This entails knowing which channels, messaging, and approaches will yield the best results.

This article will help you to define audience segmentation, learn the types of segmentation and improve your audience segmentation skills to get the most out of your online store.

Audience segmentation defined

Segmentation is the process of grouping clients together based on observable qualities.

These are frequently demographic characteristics like age, location, sexual orientation, and favorite brand.

What are the benefits of segmentation?

Because audience segmentation makes your marketing efforts more targeted, it enables you to:

 

  • Define your target demographics.
  • Customize your message to speak directly to them.
  • Meet a specific demand in order to increase conversion rates.
  • Make a connection with your customers and earn their trust.
  • To shorten your sales cycle, bring in leads.

 

Customers are more inclined to listen to what you have to say if they feel that the message was written particularly for them.

This type of personalization is made feasible by segmentation.

The approach you use to segmenting your audience is determined on the product or service you’re offering.

How to segment your customer base

If you run an online store that sells male beauty products, treating visitors from different geographical regions as discrete groups might not make sense because the majority of them have different tastes and preferences.

If you’re selling male beauty products, segmenting them based on their activity and participation level might be useful.

Here are some tips you can use to segment your customers.

1.       Demographics

This is perhaps the most common—and generally the simplest—method of audience segmentation. You can utilize demographics to categorize your audience based on;

  • Their age
  • Economic level
  • Job type
  • Geographic area.

This technique is well-known for a specific purpose: it delivers results.

One type of location-based segmentation technique is to approach clients when they are most likely to require your goods.

During winter season, for example, Ski lovers may be more likely to purchase skiing equipment.

2.       Behaviors and profiles

Behavior-based segments are created based on what users have looked for on recent and past visits, as well as purchase history.

This process moves a little farther than just separating people based on their demographics. Analyzing behavior entails examining what people buy, how often they buy, and why they acquire the product or service in the first place.

Profile-based segments are divided into categories based on the type of consumer they are, such as infrequent visitors, and first-time visitors.

Someone who makes frequent modest purchases, for example, requires different messaging compared to someone who only makes large purchases once in a while.

You can use this segmentation to target their marketing efforts.

3.       Buyers Journey

The three basic stages of the buyer’s journey are awareness, contemplation, and choice.

You personalize your messages based on where your customer is in their buyer’s journey. A customer who is just starting their adventure may be discovering that they have a problem to be solved.

However, one nearing the finish already knows what to buy and is prepared to make a decision. Rather than delivering everyone the same message, segmentation allows you to cater to each buyer’s unique needs and respond to any inquiries they may have.

4.       Level of participation

Customers who are frequent require different marketing than those who are uncommon. Someone who is interested in your business—for example, by signing up for your newsletter—is more likely to be open to your message than someone who only buys things periodically.

5.       Devices and platforms used

A personalization system should be able to distinguish browser, screen resolution, and devices such as smartphone, or tablet.

E-commerce personalization will allow you to create ads that target mobile phone users to compare to desktop marketing for the best results.

6.       Referrer or traffic source segmentation

This refers to the location where your visitor was before arriving on your website. An AI-based personalization system can figure out which offers perform best for visitors coming from various sources, such as referral sites, social media, direct traffic, and paid link ads.

7.       Types of visitors

New or returning visitors, for example, can be tracked using analytics and customization tools. This is a frequent personalization method, such as giving new visitors a discount on their first purchase or generating welcoming gifts for recurring customers.

8.       Duration of site visits

The amount of time spent browsing or the number of pages viewed are examples of this.

In some cases, it may be preferable to give personalization to users who have spent a specified amount of time on the site. Because audience behavior varies by day, week, and time of day, audiences who visit at different times might be addressed differently.

9.       Viewed content (products)

Based on product categories or specific products viewed, this is the most prevalent segmentation strategy used in retail personalization.

Similar products in a similar style can be displayed. An automation rather than a rules-based approach is essential.

Final thoughts

The most important thing to remember when it comes to segmenting your customers into distinct categories, is to determine which segments will assist you generate business growth.

You can only stand out from the crowd by demonstrating that you know who your customers are and what interests them.

That’s why you shouldn’t compromise on segmentation when putting up your marketing strategy.

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