8 Marketing Tips to Prep Your Biz for ASTRONOMICAL 2021 Sales - This Roadblock to Knowing Your Customers Means Less Profit In Your Pocket

Guest Post By Reece Smith

Running Into This Roadblock to Knowing Your Audience May Mean You're Leaving Money on The Table

Last week we launched our "8 Marketing Tips to Prep Your Biz for ASTRONOMICAL 2021 Sales" end-of-the-year series by discussing the power of an eCommerce quiz

This week we are going to be facing the reality of just how negatively a business or brand can be impacted by not really knowing their target customers.

Now, you're probably thinking to yourself how could a business function without knowing their target customers? Isn't that one of the first things we are all taught about building a business or brand? 

And, you're not wrong in thinking that. 

But, we have found that a lot of businesses and brands are facing a major roadblock when they are trying to market to their customers. We'd like to say it isn't arrogance but more so naiveté in thinking they know their target customers when they really don't. 

The Roadblock to Truly Knowing Your Customers 

Take a second and think about the business or brand you own or work for. Can you define your target customers in 5 words?

If you came up with more than five words or even less than five...you could be leaving money on the table and missing your peak ROI. 

This is because the one thing you probably still can't answer is, "What is your business or brands' perfect  customers truly interested in?"

Are they going to want every single product or service you offer or are they only interested in one?

Are they going to be able to afford your products or services or are they looking for something more expensive or a better fit for their budget?

Let's Break It Down

In order to increase profits, you must truly know your audience. And that knowledge comes from breaking down and segmenting your target audience. 

I am not talking double speak. Stay with me here. 

According to research done by Bain & Company, over a 5-year period, organizations that understood their customer segments garnered 10% higher profit than organizations whose segmentation missed the mark.

And according to that same research by Bain & Company, 81% of executives say segmentation is crucial to increasing profits. 

But get this, only 25% of executives believe their companies use segmentation effectively!

What's The Problem?

A lot of the time who an organization feels are their target customers, can actually be too broad. 

Trying to sell or market something to someone who doesn't need or want that product or service is like selling ice to an eskimo. Worse yet, time is being wasted and time is...well you know the saying. 

No one wants to waste time. Delving deeper into your perfect pool of target customers is key to increasing sales, but also essential to increasing ROI. 

Once you have invested the time into really knowing your customers by segmenting them properly, customization and personalization in offers becomes so much easier. And that is where the path is to more profit.

It's 2020, and the world isn't letting us forget that, so why not spend the time to really connect with your customers on a more personal level. 

Studies have shown that 91% of consumers prefer to shop with brands who provide relevant offers and recommendations. 

Studies have also shown that 72% of consumers ONLY engage with a marketing message if it customized to their specific interests. 

Therefore proving that really taking the time to conquer this roadblock (by using tools like quizzes to segment customers) is beneficial. 

Benefits to Conquering This Roadblock by Segmenting Target Customers

One of the major benefits that comes from taking the time to segment your target customers is better and more targeted ad spend. The secret sauce is the ability to customize and personalize advertising and marketing plans to attract very specific segments of customers. 

When you have the specific bits of personal information such as interests, ad platforms such as Google and Facebook are great tools to utilize. These ad platforms really excel when given those little pieces of the puzzle. 

Need Help Reaching Your Target Market Online?

We can help you reach your target audience and increase sales. 


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