Target your ideal customer using demographic data

by | Oct 12, 2018 | Business, Features | 0 comments

Customer
Simon Beer of Big Wave Media explains why, whether small or large, businesses need a targeted approach to your customer. Using demographics gives you a head start in understanding your market
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Demographic data is statistical data collected about you customers, such as age, gender and income.
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It is usually used to research a product or service. And it looks at how well it is selling, who likes it and/or in what areas it is most popular.
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Methods such as sample surveys and questionnaires are great ways to collect data.
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When it comes to consumers, there are very few things that we can predict. But, by using demographic data, businesses can understand why customers make choices.
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Is it because of where they live, their age, their gender? This understanding may enable businesses to forecast products in the future. It will help predict how customers will react to them.
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Demographic data is an excellent opportunity to make sure your products are the ones that your customers expect. It allows you to ensure the service levels and facilities are right.?
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It also helps you to gain a great understanding of your local customer-base. Are they wealthy? Elderly? Used to the finer things in life?
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Once you have this data, you can do several useful things with it.
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Group your customer based on variables

By grouping consumers using demographic data, businesses can understand each customer segment. They know what it wants and how it wants it.
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This can help your business to market products based on the consumer groups they are targeting.
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Are your customers more likely to buy a pot if it has a delicate feel? Or are they more likely to go after the blocky, industrial-looking versions?
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Are you offering enough houseplants in your store for the millennial generation?
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Determine the next step for your growing business

By understanding what your customers are looking for, you know whether customers would like a new location. If so, how far they be would willing to go out of their way to get to it.
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Knowing what your customers want can also help you avoid making costly mistakes.
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Is it worth adding an extra space to your store to house the products in the garden lighting category? Is this a growth area that you are focusing on moving forward?
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Customise products to specific consumer groups

Demographic data can be used to customise products by finding out what consumers want. You can then change the offering to fit.
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The whole idea of customising products would be to save time and money on products that aren?t wanted. Or they don?t fit your consumer specification.
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It?s all well and good surveying your customers, but it is by acting on the results that will make the biggest difference to your business.

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