Tag Archives: segmentation

Why niche marketing works

ID-100201541How many times as marketers and business owners do we struggle to really identify and communicate with our true target audience? Often this is because the audiences we have identified are simply too diverse to make a coherent communications plan viable; so we end up spreading our messages too thinly to be impactful in any one customer segment.

Today I can across a business that has done a brilliant job of finding a niche and making it their own. They are a great example of how, by focusing on a niche, you can make your marketing messages clear and concise and ultimately more successful.

The company in question started life as a printers. At that stage they were probably like many other printers – producing all sorts of items and competing in a largely price-driven, commodity market place, with a diverse customer base. At some stage in the company development though, they decided to focus on printing race numbers for runners competing in events. And, if you look at them today, they not only  print race numbers for many different types of event, but they also provide many peripheral products to their customers –  anything from event signs and barrier tape to nine different types of safety pin to attach the numbers to competitors tops!

By changing from a product-led business, undertaking many different printing services, to a customer-led business, focusing solely on the events market, they have transformed their business model. And, in so doing they are now able to reap the benefits of a totally customer focused marketing approach. Here are some of the advantages to think about:

  • You and your staff can more easily become ‘expert’ in your chosen niche, leading to a better understanding of the issues and problems your customers need to solve
  • Greater empathy with your customer leads to clearer messaging and better communication
  • The clearer your target, the clearer your approach – from identifying key terms for seo  and finding influential partners  to sourcing appropriate trade journals and mailing lists – everything becomes clearer.

It goes without saying that, if you intent to focus exclusively on one niche, then it needs to be capable of sustaining your business now and in the future. The approach though still applies to bigger businesses, where cross functional teams can be focused on different customer segments to reap the same benefits.

If you feel you are spreading your marketing too thinly across a number of different audiences or are struggling to identify your key customer groups, it might be worth thinking about taking a niche approach.

image: http://www.freedigitalphotos.net/

 

 

How to choose the right mailing list

It was with some relief that I opened the sixth, and final, direct mail piece from a certain Scandinavian book printing company today. You may be  wondering why I have received no less than half a dozen different mailing packs from a seemingly unrelated business over the last two months – I certainly am!

I can at least take an educated guess. Though I have never had the need for a book printer, I did  publish a magazine (until I sold the business some 6 months ago). My details have obviously been captured and ‘plonked’ into the generic category of ‘publishing’ and the data sold on to some poor unsuspecting marketer hoping for a list of relevant prospects!

Here are some of the questions you should ask before agreeing to rent or buy, what looks like, a relevant database?

  • Where has the data come from and how is it kept up to date? Has the data originated from a legitimate source, has it been verified and on what basis is it kept up to date?
  • Can you buy the relevant portion of the data and how can it be segmented? If you are looking to target businesses in a particular sector can they be easily identified?
  • What level of detail does the database contain? It is essential that you have a named contact and you may also want a ‘phone number and email address.
  • On what basis can you use the data? You can rent lists for one-off use or multiple use or you can buy the data outright. Be clear about what you need and what you are getting.
  • How will the data be sent to you? The format in which you will receive the data is particularly important if you are using an outsourced mailing house. Make sure it is compatible. 

There are lots of good databases out there – by asking the right questions you can make sure you choose the one that will work for you.

Save time & money with a well targeted marketing campaign

I had a ‘phone call today. The caller simply made me a, very kind, offer of 90 litres of spring water and 100 cups delivered to my door… absolutely free. I hesitated before giving a polite ‘no thank you’, not because it wasn’t a compelling offer, but because it was totally inappropriate.

I had visions of trying to cram an enormous bottle of water into my, already pretty ‘spatially challenged’ home office. I mused at the idea of chatting (to myself) around my new water cooler. I wondered how long it would take me to use up 100 cups. And still my answer was no.

I should never have received that call. Surely given a couple of simple facts about me and my business someone could have worked out that I probably wasn’t  in the target market? And even if I had slipped through that particular net, shouldn’t the caller have qualified who I was? Even the… ‘can I speak to the person responsible for purchasing 90 litres of spring water and 100 cups please’ … introduction would have been better than nothing.

Granted it’s not always easy to identify and reach your market. But it’s certainly worth a try. Identify your target audience as precisely as possible, talk to them in their language, make them an appropriate and compelling offer and, you never know, they might just say yes.

Know your target market

A small business client passed me a piece of direct mail they had received a couple of days ago. A good quality piece, strong message, clear call to action. So what made it so utterly fruitless as a marketing communication?

Don’t get me wrong, I’m a fan of direct mail – I’ve seen it  rise and fall in popularity over the years and have always maintained that the label ‘junk mail’ is not altogether fair (though I admit that in far too many cases it is perfectly justified). It’s not enough though to have a well designed mailing piece, as with any marketing communication, it needs hit the right audience – your target market. Those potential customers that need or want your product.

So why send a nicely crafted mailing piece about commercial waste services to a small service business which is likely to have no more ‘commercial waste’ than a few bent paperclips?

Direct mail can work as part of a well thought through business to business marketing campaign but will only be effective if all the elements are right. Defining and understanding you target audience in detail is fundamental to developing any good marketing communication and is well worth taking the time to analyse and articulate as part of your  marketing plan.