Month: October 2014

Understanding Market Segmentation

Here at xAmplifier, we want to help you market to your customers effectively. That’s why this week we’ll teach you about market segmentation, a strategy that will help you understand your customers better as well as highlight potential areas for new business growth.

What is Market Segmentation?

Market segmentation is a strategy used to divide a target audience into subsets of customers with common needs and priorities and implement strategies to target those subsets. Businesses often create product differentiation strategies to target these consumers, usually involving specific products based on the target segment’s attributes.

An ideal market segment meets a number of criteria. The subset must be large enough to earn profit, stable enough to persist over time, possible to measure and reach through the business’ promotion and distribution channels, and consistently responsive to a given market stimulus. The segment should also be both internally homogenous and externally heterogeneous, meaning customers in the same subset prefer the same product qualities, while those in different segments have different preferences.

Segmentation Methods

Several market segmentation methods are available, including geographic, demographic, psychographic, and behavioral segmentation as well as segmentation by occasions or benefits.

Geographic Segmentation

Businesses can choose to segment their customer bases according to geographic data, including nations, states, regions, languages, cities, neighborhoods, or postalcodes. This approach tends to combine demographic data with geographic data to develop a more accurate profile.

Demographic Segmentation

This type of segmentation is usually based on variables like age, gender, occupation, and education level, often dividing target markets into various life stage groups and tailoring messages to consumers accordingly.

Psychographic Segmentation

Sometimes called Lifestyle, psychographic segmentation divides consumers into subsets based on lifestyle, personality, values, hobbies, and social class. Mass media tends to have a strong influence on psychographic segmentation. Businesses often tailor different types of lifestyle products, like high involvement, specialty or luxury products, to various psychographic subsets.

Behavioral Segmentation

This type of segmentation divides customers into subsets based on their knowledge of, attitude or response towards, or use of a product. This is particularly useful for market expansion and new product sets where early adopters are crucial to success.

Segmentation by Occasions or Benefits

Businesses can segment their target market based on the benefits sought by the customer or according to occasions of use. For example, a company would market differently to consumers using the product alone than those using it in a group. Likewise, they would differentiate between subsets of customers buying the product as a present and those purchasing for personal use.

Segmentation Benefits

Once you have your segmentations in place, you’ll have a better idea of where to use your business’s energies and produce a long-term roadmap to sustainable growth. Does it make sense to expand your product set for additional revenue from your core segment? Should you increase product and service awareness in new or untapped segment? Should you advertise in print, TV, social media, and other online venues? These questions and many more can be easily answered with a proper market segmentation model.

If you’re interested in learning more about market segmentation or xAmplifier, contact us today at sales@xamplifier.com or call 866.363.6434!

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Five Networking Apps to Boost Your Social Media Marketing

Here at xAmplifier, we want to help you improve your business’ digital reputation. One way to do so is by using social media to connect with your target audience.

Networking with your audience and building customer relationships can help strengthen your brand. That’s why this week, we’re offering you five networking apps to connect with your customers and target audience online.

SocialBro

Want to leverage your Twitter connections? Staying connected with your customers via Twitter is a great way to expand your business. Check out SocialBro, a marketing platform that uses a combination of content optimization and analytics to determine the tweets your audience responds to the most.

SocialBro works with social media management platforms like HootSuite, so it’s simple and easy to integrate into a daily routine. The tool suite allows you to create customized direct message campaigns as well as determine the best times to tweet to your digital audience. The app is free, but monthly and annual plans with additional features vary in price.

TrendSpottr

TrendSpottr helps you discover viral trends that are relevant to your audience by allowing you to set up alerts for any keyword, hashtag or topic and find keywords or phrases with the potential to go viral. The tool also offers crisis management, keeping your business’ bad news from going viral and leaving a negative impact on your company brand.

The app works with HootSuite and Salesforce, helping you keep your employees in the loop about viral content. Commercial pricing varies.

NeedTagger

NeedTagger helps you find customers asking about your business’ products or even complaining about your competitors. The networking service allows you to find and follow up with potential customers by defining search words geared towards your target audience either through their API or their own app StreamBuilder, the easier option.

NeedTagger offers a 30-day free trial and afterwards, paid accounts vary based on the number of tweets you wish to scan.

Nimble

This social media management and networking app focuses on building relationships with your contacts, regardless of their social networks. Nimble’s single view allows you to see your past and current conversations with every prospect and gather details that would normally be spread across multiple CRM apps.

The app also allows you to tag contacts with specific keywords and establish Stay in Touch reminders to follow up with leads and contacts. Nimble offers a free 14-day trial.

ContentGems

Need help keeping up with the latest products, trends and technology in your industry? ContentGems allows you to choose topics of interest, then sends you a list of industry news and alerts you can use to engage your digital audience.

This content discovery app monitors more than 200,000 news sources, blogs, and social media accounts and filters based on your defined keywords. ContentGems offers a free account, but paid account prices vary based on the number of keywords you wish to research.

Want to learn more about social media marketing strategies to enhance your business’s digital reputation? Contact us at sales@xamplifier.com or call 866.363.6434 to see what xAmplifier can do for you!