“Organizations that leverage consumer behavior data to generate insight outperform their competitors but 85% in sales growth,” according to Microsoft. Demographics are important for marketing efforts but it won’t be enough to fulfill your business model goals. This is where behavioral marketing can come into play, as well as psychographics. We’ll talk about the latter in tomorrow’s blog. Today, we are focused on behavioral marketing alone. So, what is behavioral marketing? Let’s define it as the method of using behaviors, interests, intentions, locations, etc. to target audiences. Although it may seem similar to psychographics, the difference lies in that this reveals consumer’s beliefs, values and goals to understand purchasing habits. Behavioral marketing is important to helping your brand tailor ads, attract more leads, increase sales and strengthen bonds with your customers. However, that being said, it’s not enough to just understand your audience because they may not all have the same behaviors within their demographics. This is where segmentation comes into play. Some common segmentations are purchasing behavior, engagement levels, consumer loyalty, benefits desired, and different journey stages to name a few. Collection of this data can be done through website analytics, browsing history, search history, social data, purchasing history, mobile apps, emails and/or chatbot histories. People want personalization and this is a great way to achieve that as a business. According to Segment’s 2022 State of Personalization Report, “49% of people say that they will likely become repeat buyers after a personalized shopping experience with a retail brand.” It’s clear that behavioral marketing is one of the most influential factors to obtaining this personalization consumers so desire and it will benefit the success of your brand.
