It’s back-to-school season. Knowing your target audience is an essential piece of planning a successful back-to-school marketing campaign. To get the most out of your marketing investment this back-to-school season, it’s important to understand how to identify and segment back-to-school shoppers so you can make sure that the right message reaches the right group at the right time.
In this blog post, we’ll cover how you can segment your target audience to create and deliver custom messaging tailored to individual groups. We’ll discuss segmentation methods that uncover:
- Who they are
- Where they live
- What type of person they are
- How they behave and spend
Here are our tips to accurately define and target your back-to-school marketing audience.
Maximize back-to-school marketing with customer segmentation
Customer segmentation is the process of dividing your audience into smaller groups based on common characteristics such as demographics, behaviors, psychographics, geographics, and more. The purpose of customer segmentation is to create a more personalized and effective approach to marketing. By understanding the unique needs and preferences of each segment, you can tailor your messaging, campaigns, and content to resonate with your customers on a deeper level.
Benefits of customer segmentation
Three benefits of customer segmentation include:
- Improved audience targeting
- Higher engagement rates
- Increased ROI
Instead of addressing your entire customer base with generic messaging, segmentation enables you to deliver custom campaign messaging that speaks directly to each group. This personalized approach helps build trust and loyalty with your customers over time.
Customer segmentation also allows you to better understand your customers, their motivations, and pain points, ultimately leading to more effective marketing campaigns.
Types of customer segmentation
When it comes to segmenting your customers, there are several methods to consider. By experimenting with different approaches, you can find the best fit for your business. Keep in mind that the most effective customer segments will differ depending on the industry.
Let’s review four types of customer segmentation that you can implement as part of your back-to-school marketing strategy.
1. Demographic segmentation
Demographic segmentation categorizes consumers into groups based on shared demographic characteristics such as age, gender, income, occupation, marital status, and family size.
For example, targeting college students during the back-to-school season with promotions on laptops is likely to be more effective than targeting retirees who may have less interest in such products.
2. Behavioral segmentation
Behavioral segmentation divides customers into groups based on their demonstrated behaviors. This method sorts customers by their knowledge of products or services, attitudes toward brands, likes/dislikes about offers, responses to promotions, purchasing tendencies, and usage of products/services.
Behavioral segmentation can help you identify the highest-spending customer segments, so you can budget and target more effectively. Through this type of segmentation, you can analyze each group’s patterns, discover trends, and plan informed marketing moves for the future.
In a back-to-school campaign, you could use behavioral segmentation to identify students who prefer to shop locally. You could then target students who value supporting local businesses and emphasize the importance of buying from local retailers during the back-to-school season.
3. Geographic segmentation
Geographic segmentation involves dividing your target market into groups based on their physical locations. Geographic segmentation reveals aspects of a local market, including physical location, climate, culture, population density, and language.
In a back-to-school campaign, you could use geographic segmentation to identify target audiences in colder climates who may be more interested in winter clothing and gear. You could also use geographic segmentation to target students living in college towns with messaging that speaks directly to campus life.
4. Psychographic segmentation
Psychographic segmentation groups customers based on psychological factors such as lifestyle, interests, personality, and values.
In a back-to-school campaign, you could use psychographic segmentation to target students who value sustainable practices, promote eco-friendly products, or offer incentives for recycling and reusing items.
Watch our 2024 video for tips from industry leaders for back-to-school
In our new Q&A video with Experian experts, we explore changing consumer behaviors surrounding back-to-school shopping in 2024. In the video, we discuss:
- Anticipated shifts in consumer behaviors and shopping habits
- Tactics we predict marketers will employ to navigate signal loss
- Which channels will be the most successful
- And more!
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Experian received top ranks for hashed emails (HEMs) and demographic data from Truthset Data Collective Advertisers, technology partners, and agencies are all chasing accurate data to power their marketing strategies. Turns out, not all data is created equal and unless you’re working with the right partner, high-quality data can be hard to find. That’s because accuracy can vary widely across the industry and the partner you choose is important. A recent study conducted by data validation company Truthset showed that 51% of the data used for ad targeting and audience measurement is wrong, with average accuracy rates ranging between 32%-69% across data providers. The data quality challenge The lack of high-quality data poses multiple challenges in the advertising world: Wasted ad spend: without accurate data at the start, marketers can’t reach the right audiences, resulting in wasted impressions. Privacy and compliance: in an increasingly privacy-centric world, advertisers need to be especially mindful of accurate targeting to avoid putting their brand reputation at risk. Poor campaign performance: low-quality data skews metrics and attribution models, making it difficult to measure campaign success and optimize spend. Low-quality data can come in different forms like inconsistent or outdated information – think demographics (age, gender) and interests (dog versus cat lover) or simply the wrong relationship can be made between datasets. Data records can be incomplete or duplicative and data segments could be misclassified or inaccurate. For example, a kids snack food company may think they’re targeting a 35-year old man, who lives in the suburbs with his young family when in fact it’s a 65-year-old woman who moved to the city after her kids went to college. It’s wasted dollars!Build the data foundation Data quality needs to be addressed if advertisers and advertising technology partners want to fulfill consumers’ demand for personalized marketing. Per eMarketer, more than 75% of internet users worldwide said they were willing to share their email address, brand interest, and name in exchange for personalized experiences. Without accurate data, marketers won’t be able to provide the level of personalization that consumers desire. Validation can help advertisers evaluate third party data and help build trust across the ecosystem. Companies like Truthset review and provide an unbiased evaluation of data fidelity and quality on a regular basis. "As cookies and mobile ad identifiers continue to phase out, consented, durable identifiers (hashed email, postal addresses) are going to serve as the foundation for identity solutions of the future,” said Chip Russo, President at Truthset. “And the only way to ensure you are transacting on the highest quality identity and demography data is to actively validate the data you rely on with a third party.” Not all data is created equal: Experian leads the way In Q3 2023 Truthset reviewed Experian’s marketing data – as well as several other large data providers – and found: Experian is the #1 data provider in terms of largest volume of high-accuracy hashed e-mails (HEMs) with demographic data Experian ranks #1 in accuracy for 15 marketing data attributes, including but not limited to Age, Gender, Home Owner/Renter, Geography, Education, Presence of Children, and Pet Owner Experian consistently has the largest number of HEMs with demographic data that are 90% or more likely to be accurate “As a member of the Truthset Data Collective, Experian received top ranks across a variety of categories for its data,” continued Russo. “The entire digital advertising world runs on data, but focusing on data accuracy is going to drive the next phase of innovation for the industry, enhancing ROI for advertisers, CPMs for publishers, and relevant experiences for consumers.” As Truthset's recent study highlights, the data matched between hashed e-mails and postal addresses is crucial, underpinning everything from targeted ads to TV audience measurement. Highly accurate HEMs linked to high-quality demographic data should be the foundation of any marketing plan. Advertisers are able to overcome the complexities of identity resolution by tying online and offline touchpoints together to deliver a consistent message across channels. Companies are striving to eliminate marketing waste and provide consumers with personalized marketing and the advertising industry can have confidence that Experian’s marketing data has been externally validated as being highly accurate. The accuracy of our data will power smarter marketing initiatives, like insights, targeting, identity, and measurement. Let's start a conversation about how we can fully realize the potential of data-driven advertising together. Contact us today Latest posts
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