denmark@annalect.com
MARKET & CONSUMER INSIGHT
Segmentation & Target Group Analysis
Segmentation in marketing involves dividing a market into smaller groups of consumers with similar needs, characteristics, or behaviors. This allows marketers to create more targeted marketing campaigns, improve the customer experience, increase efficiency, and gain a competitive advantage.
By tailoring marketing efforts to specific segments, brands can increase the likelihood of a positive response to their message and maximize their return on investment. Segmentation also allows for a more personalized customer experience, which can lead to increased customer satisfaction, loyalty, and advocacy. Overall, our segmentation & target group analysis enable brands to better understand their target audience and achieve their goals.
Benefits
Single source quantitative data is used for the segmentation
Intitial segments are enriched with data from both qualitative and quantitative sources
A segmentation framework is applied to identify which segments to target
Personas are created to give depth to distinct segments that directly can be applied in targeting, communication and similarly
How it works
The process of segmentation involves several steps to help businesses better understand their target audience and tailor their marketing efforts to meet specific needs.
Data from customer demographics or purchase history is used to divide the audience into groups based on shared characteristics. Secondly, qualitative and quantitative data from sources like focus groups, surveys, or social media analytics enriches these segments, providing more information about behaviors, attitudes, and preferences. Thirdly, applying a segmentation framework helps evaluate the value of different segments, enabling businesses to focus on the most profitable and high-growth areas. Finally, creating personas from these segments gives depth and insights for communication strategies, product development, and marketing efforts.
How to get started
The purpose of how the segmentation will be used and a basic understanding of the market will be the starting point of which methods and type of segmentation that will be used.
We recommend companies to have different segmentations depending on purpose. Otherwise, they will not be sharp enough to guide us in the right direction. To be able to translate a specific segmentation to a more general one there are ways to estimate those belongings.