What do we mean by segmentation when advertising? In today’s world, we can see targeted advertising on any site. In this article, we will tell you all about it. This includes its types and benefits.
Segmented advertising is nothing more than the power to split the target audience that will receive the advertising. For this, we take into account some pre-defined characteristics according to interest. By doing this, we seek to reach the buyer and thus increase the performance of the campaign.
There are many types of segmentation, and we can mix all of them.
One of the main objectives when advertising, whether online or offline, is to reach the right audience at the right time.
In general, brands, products, and services have a target audience to which they choose. This is because they know that they are more likely to consume what they sell.
What is segmentation?
Like many of the concepts used in marketing, a segmented market is a term that shows itself through economics. So, when we say this, we mean a set of people or organizations in a market that share one or more specific features.
This segment is one-sided in need, reacts alike to prompting, and differs from other segments. This concept is perfect to know where you want to aim your advertising strategy. So, when moving it to the digital world, and especially to that of digital marketing it can be useful.
Every time digital advertising is produced, we seek to segment the ads to those sectors that we know will be more prominent for your business. We can do this both in Google Ads and in the different social media.
Next, we will show you more types of segmented advertising. Besides, this, far from being exclusive among themselves, can be combined until reaching the target audience you want.
Types of advertising targeting
Segmentation when advertising, Geographic:
This type of segmentation is not only for countries. On the contrary, we can segment it by provinces, departments, cities.
Besides, on some platforms, we can also do it by neighborhoods of a city.
Likewise, it’s possible to segment according to radio around a location.
By this, we mean that we can segment it according to different characteristics.
Some of them can be sex, age, studies, work profile, or marital status.
This will be very useful when we want to aim a product for a certain social group.
We can also use this when we know that something we sell is successful in a specific demographic.
You can choose ads to people with certain pre-established interests in society.
These interests can be part of general categories like travel, or marketing.
Besides, we can even target it to more specific ones.
Some of these can be luxury travel, or digital marketing agencies, respectively.
Segmentation when advertising, Remarketing:
Yes, remarketing is a type of segmentation.
We can also segment it according to different elements. For example, the purchased product contracted service, or the type of interaction with your brand.
Although this seems very basic, the use of keywords and especially negative keywords is important. For this, we can use them for Google Ads search ads.
Segmentation when advertising, By day and time:
It consists of showing your ads on certain days and times, not all the time.
What are the benefits of segmenting?
The possibility of getting to a group of potential clients. Especially those people interested in what we offer.
As you know, they are very important for our brand and products.
Segmenting allows you to improve your conversion metrics, especially your conversion rate.
Besides, with it, you can also increase your cost and conversion value. Another great benefit of this is that you will have more conversions.
All of this, while investing a lot less than if you target your ads without discrimination.
You will also improve your ROI (Return on Investment). This is because you will have minimal investment in advertising. However, it will be efficient and will allow you to achieve great profitability.
It will positively impact your potential clients. The reason for this is that you will offer content or solutions relevant to them.
And it will have more concrete information about the segments that Feedback is targeting. So, while your ads run, you will learn, through trial and error, how to better reach them. Thus, you will be able to optimize your campaigns.
Some considerations when segmenting
Segmentation when advertising, Beware of over-segmentation
Mixing every type of segmentation to reach more people can be a bad idea. The impact that this will have on your business and your advertising campaigns is something that you don’t want.
Thus, you must know how negative it can be to not segment your campaigns. However, you must also know that doing the least can be bad for you. On the other hand, doing the opposite is also negative.
So, if you try to segment your campaigns as much as possible through the combination of the different factors that we showed you earlier, it can make your campaigns very inefficient.
Because you will probably be targeting a very small market segment. This, in turn, could make your campaign unprofitable. So, you may be leaving potential customers out of the way.
The only way this could be a successful plan is if the decision were supported by truthful information. This has to be something that shows how only that limited group of people is paying off.
If this happens in a good way, you would be facing a market niche with great potential to be exploited. Thus, you could generate a great return on investment.
As we say at BluCactus, to get to this optimization state for a campaign, you need to try, try and try to see what works, what doesn’t, and how you can improve each part of your campaign more and more.
Segmentation when advertising, Beware of biases before a target audience
Another point that you have to take into account when segmenting, is the direction that you want to reach on the target audience that you choose.
A typical case of this happens in segmentation by sex or by age groups.
You may think that your product or service is important to a certain group.
However, this doesn’t mean that another individual from other groups may be like what you offer.
On the other hand, those that do like what you offer may be part of other groups and not necessarily a minority group.
So, in this case, maybe you’re not convinced to remove them from your target audience.
Thus, having active campaigns, monitoring, and interpreting the data provided allows you to know how your consumers behave. Besides, with this, you will know what segment they represent.
You can use this to make decisions on how to segment more easily. So, you won’t leave any potential interest group out of your target audience.
At the same time, and in a similar way, it may happen that what you offer is of interest to a certain group that is unknown to you.
Likewise, the target group might be not fully identified. So, in this case, segmentation can become more complicated.
For these cases, it’s always good to start the campaigns with a minimum segmentation. This means doing this in a general way, aimed more than anything at the geographic.
After this, you can, over time, evaluate which are the most attractive segments for your business. Besides, you will also know those in which you should concentrate your advertising efforts.
Conclusion of Segmentation when advertising
We believe that it’s important to segment according to our capabilities. With this, we mean, both the budget and the operational capabilities of the business.
Only in this way can you provide a certain service or sell products in an efficient way in a city.
So, you don’t have to advertise throughout the country.
Also, it may be convenient to limit your advertising campaign and not have them running 24/7. This, in the case that you can only answer queries that come to you on certain days and at a certain time.
Finally, targeting can also help you to maximize your budget if your budget is limited. It can do this by making your ads show to an audience that has transactional intentions.
At BluCactus we firmly believe that there is no formula to segmenting. However, the initial configuration, constant data analysis, testing, and the hand of an expert make a campaign profitable.
In recent years we have invested in the campaigns of our clients, and we remain convinced that day by day one continues to learn.
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