Census Data Provides A Rare Opportunity For Perfect Demographic Data

Rarely are we in a better position than right now as marketers to be able to be more certain about the specific potential size of any target market locally based on either demographics or psychographics. This is of course because of the recently conducted statistical, national census.

We all know how difficult it is to be sure about the data that we base our decision making on, but for now at least we all have access to an almost perfect representation of the national profile.

Incredibly when I ask students and clients about how they go about breaking down their market and validating segment sizes and attitudinal and behavioural data, rarely if ever do people respond with the answer that I'm looking for. Namely "I call the ABS and purchase the latest report".

For the record not only is this data incredibly current and accurate, but concurrently incredibly inexpensive and oozing with information that properly used will deliver true insight about your target audience, who they are, where they live, how much they earn, etc., etc.

It goes without saying that the more time passes the older the data will get and yes, potentially inaccurate. But for now it is the real Mc Coy.
So don't wait, don't hesitate. Either call the ABS or visit them on their website (www.abs.gov.au) and search out all the incredible data that may very well lead you to better defining your audience and what USP you may be in a position to offer them that others can't.

Let's hear how you go. And until next time, good luck and good marketing.

Daniele.

Segmentation is (Still) Not a Dirty Word

It's amazing how often segmentation gets brought up during marketing workshops or generally by clients these days. Years ago the question would be along the lines of: 'should we be segmenting our market?' I think people with greater business insight these days know that with ever increasing levels of competition and in an attempt to remain relevant to your preferred audience,the answer is most certainly yes, so the more likely question being raised these days is normally along the lines of: 'how do we know whether to pursue a specific niche or not?'

Much, much better question to be asking. And the key to answering it is to know what the key criteria for evaluating market segments are.

The criteria most commonly used to evaluate whether or not to target selected market segments are:

(1.) Ability to be quantified - A market segment must be quantifiable, e.g., what is the potential number of customers? How much are they willing and able to spend?

(2.) Ability to identify groups with similar needs – For market segmentation and subsequent target marketing to be done successfully, it is vital that you are able to identify and group together people with similar needs that the business can fulfill.

NOTE: These needs can be based on product usage, product attributes, location of business, benefits sought by customer or on any other appropriate dimension.

(3.) Actual size - A market segment must be big enough i.e. are there enough customers? Do they have enough money to spend?

(4.) Ability to communicate with the segment - With few exceptions, most market segments can be reached on both a promotional and distribution level. The critical factor is whether the net cost to achieve and sustain this communication is within acceptable levels, so that your business can effectively communicate with this segment.

When these criteria are used individually and collectively, the business will be able to gain additional insight into the respective viability of different segments.

I'd be interested to know if you have done any evaluation of segments that exist in your market place.

And until next time, good luck and good marketing.

Daniele.