Psychographic Vs Demographic Marketing
Good intent marketing is all about predicting which actions a specific customer persona is about to perform, while simultaneously trying to influence that decision by bringing them into your marketing funnels.
There are many tools that you can use for intent marketing, of course, but the truth is, you’ll need to use a combination of techniques to really boost your campaign’s success for customer acquisition. There is not one be-all-end-all solution to make a campaign successful. The key is to provide a personalised experience so that your customers feel like whichever ad they see was explicitly made for them, while really understanding the user journey.
To accomplish this - and ultimately drive more revenue - you need to learn how to tap into the mindset of your target audience, and psychographic and demographic marketing will help you do just that.
Defining demographic and psychographic marketing
• Demographic marketing refers to the segmentation a business' customers according to factors such as gender, age, income, location, language and education.
• Psychographic marketing refers to the segmentation of customers by their interests, values, behaviours and attitudes towards a specific cause or topic.
These factors often aren’t as apparent as the demographic factors; however, they can play a significant role in the customer’s intent.
Why you should use both
Psychographic and demographic marketing work best when combined to ensure a holistic approach. Many companies focus only on demographics when it comes to their outreach and Facebook ads, but could be generating much better results if these were combined with psychographic and behavioural marketing.
For example, if you are trying to sell a sustainable organisation-focused app for time-poor people, you would select people of working age in a specific location, with an income level that lines up with your target customer as a starting point - this is demographic marketing.
To take it further, you would also look for people who are interested in life organisation (interest), who are likely to download an app or that are engaged shoppers (behaviour) and who care about the environment (values) - this is psychographic marketing.
While the demographic targeting in the example we have just laid out might yield some results, you will most likely achieve a higher ROAS (return on ad spend) by adding the psychographic targeting layer.
By intersecting demographics and psychographics, businesses are able to understand how their customers internal and external factors influence their purchasing decisions. This technique makes it much easier to recognise customer intent, and this can be used to your advantage.
If you are selling audiobooks, you want to find people who have the intention of reading more, while being time-poor; if you are selling vegan burgers to new vegans, you want to find burger-lovers who are looking to change their lifestyle. By targeting them, you can use this intent to your advantage to bring them into your marketing funnel with an enticing offer, and seal the deal with a good email marketing strategy. The main idea is to determine which steps, and how many, it takes from the moment that your potential customer wants something until they get it, while getting your ad in front of them during this process to influence their purchasing decision.
Beginning a new marketing campaign might seem daunting at times. Still, by breaking it down into several stages and measuring results each step of the way, it will become much clearer what needs to be done in order to drive customer or user acquisition. Remember that intent isn’t always something that people actively voice, so your business has a real opportunity to step in and guide your potential customers to complete a purchase or download. Once you can begin to understand your customers’ mindset and how external factors and internal values might affect it, it will become easier to acquire new customers daily.