Evaluating Your Customers’ Changing Demographics
Think about your ideal customer profile. Are they a homeowner or do they rent? Are they Millennials, Baby Boomers, or Gen-Xers? Every market is directly influenced by social opinions and changes, and utilizing this information can help you target your customers more effectively.
We’ve identified some quick and easy trends to follow when monitoring changes in your customer profiles and target market demographics. In this blog post, we’ll tell you what to look for when monitoring changes in demographics.
What Influences Demographics?
Evidence of changing demographics can, partly, be found in the intensity in which opinions and counter positions are voiced online. These expressions and the nature of the communication styles chosen give voice to key attitudes, beliefs, and opinions of current and prospective customers. This information is incredibly valuable to marketers. Other times, one can identify changes by keeping tabs on world events, political changes, and other major influences. But what exactly should your market research look for?
What to Watch For
It is imperative to know and understand how potential clients, customers, and prospects have changed over the past few years and how they are expected to change in the near future. Not only does that include changes in their demographics but also in engagement styles. Here are some influences to watch that may cause your target demographic to change:
- Watch for changes in demographics that follow social conditions.
- Major events and news can also have a big influence on demographics.
- Because finance plays a large part in when people spend money, keeping an eye on financial markets such as stocks can play a key role in watching your demographic.
- Political events and other social issues have influence over markets as well.
Looking at Demographics
When brands create marketing strategies, crafting the perfect target audience is essential to obtaining the most leads. Generating interest in products meant for children, for example, would be difficult if an advertisement was shown on a blog website for young investors. To hone in on your audience, you need to consider the following:
- Populations & Households: This type of data allows brands to glean an insight into the current market size, past growth or shrinkage, and possible future trends. Having a good idea of how many people you are trying to target within a population will help you hone in on a marketing budget, plan for future marketing strategies, and more. In addition, targeting specific ethnicities, helping market to different opinions and preferences across ethnicities.
- Ages: Understanding the ages of your target audience can help you decide how to market and what platforms will work best. Older audiences, for example, may respond well to direct mail marketing. Younger audiences such as Millennials may respond better to something like direct text marketing.
- Household Incomes: Depending on the product or service being offered, targeting specific household income ranges may help narrow customer bases to those who are more likely to buy a brand’s product or service.
- Education: Levels of education can also play a role in determining socio-economic demographics in an area. “Income increases with advancing educational attainment”, according to The University of Wisconsin Madison, but this information can mean that marketing budgets only look at incomes and not education levels. While linked, specific types of products may benefit from targeting a well-educated demographic.
- Occupations: The occupations in a demographic will also make a difference in market research. For example, a home furniture store would thrive nearer a residential, affluent area, while an office supplies chain may place locations strategically near commercial or office-heavy areas.
Looking for Reliable Market Research?
At Decision Point Consulting, market research is our specialty. If you or your business needs help to navigate the ins and outs of marketing, we would be happy to help! We are a passionate and driven team committed to helping you make the most of your business strategy, marketing, and legal decision-making. We offer focus group facilitation, digital market research, consumer panels, data capture & analysis, recruiting, and much more. To get started, give us a call today at 440-263-5362 or use our online contact form to get in touch. Let’s get started today.