Using Psychographics In Your Business Strategy

Whereas interests cover events your buyer might not actually partake in, activities refer to what your buyer actually does in their spare time. Other potential interests include their taste in music, shows, and books. Interests can closely align with activities, though not always. Touch upon those interests in your marketing campaign, and you’ll be much more closer to getting their business. Let’s take a look at some popular psychographics examples below. The image you choose will depend on the psychographic profile you’ve created for your target buyer.

It’s useful for influencers who want to grow their YouTube channel and businesses that want to get more reach and engagement. Brandwatch is a consumer intelligence and social listening platform that provides quick, people-centric insights from over 100 million sites. Google Analytics has multiple reports that cover a range of topics, like demographics, acquisitions, engagement, traffic sources, conversions, organic keywords, paid search queries, and more.

Your next step once you’ve collected psychographic insights from various sources is to consolidate and analyze the data. Now that we’ve covered the basic components of psychographic research, let’s consider two core applications of psychographic marketing. For example, customers often give feedback on features they feel should be added or improved—shedding light on their underlying needs and desires.

• You'll be analyzing data for patterns, grouping people, and then using those groupings in your marketing strategy.
• Instead of segmenting users only by genre preferences, Spotify analyses mood patterns, time-of-day habits, wellness goals and activity-based listening such as focus, relaxation or productivity.
• In this explainer, we break down what psychographics is, the ways in which psychographic data is gathered, how that data is typically applied across industries from retail to real estate, and more.
• Demographic and psychographic segmentation are powerful individually, but their real impact comes from strategic integration.
• Apply psychographic in your marketing by experimenting with different marketing messages, creative assets, and offers targeted at different psychographic segments.

Personal interests and hobbies

Just as you need to market your company to attract new clients, you must also retain those already doing business with you. You can combine psychographics with other data to direct your product development process and create offerings that resonate with your core audience. Marketers can gain psychographic insights by analyzing government research, academic studies, and industry reports.

For example, if you’re promoting a B2B SaaS solution, your specific audience may be made up of men and women ages who earn more than $100,000 annually. The former category describes your intended audience on a superficial level, while the latter describes their motivations. A SaaS company might create personas for each stakeholder involved in the buying process, for instance. Doing so will help you engage key decision-makers and eventually convert them into brand advocates.

How Do You Implement Psychographic Segmentation Step by Step?

Despite all the attention this sensational incident received, it is hardly the only example of data acquisition with a psychographics flavor. In 2015, Cambridge Analytica approached Dr. Alexander Kogan, a psychological researcher at Cambridge University’s Psychometrics Centre, to develop a Facebook app called “This Is Your Digital Life.” The app took the form of an online personality quiz. And where better to find it than on Facebook, a social network consisting of 2 billion users across the globe.

But it should be said that the same skepticism about the effectiveness of psychographic marketing has been leveled at political advertising in general. Ultimately, the precise impact of psychographic marketing will be hard to quantify, especially when it comes to its effect on political behavior. Some, including a paper authored by researchers at Stanford University’s Graduate School of Business in 2017, reveal that psychographic targeting can make certain advertisements more persuasive. Several studies have been conducted in an attempt to determine the efficacy of psychographic targeting. Significant media coverage has been dedicated to the role that psychographic marketing — particularly on social media platforms — has had on political activity in the US and beyond since 2016.

It comes from the study of psychographics – psychological attributes like personality, values, attitudes, opinions, interests, and lifestyles. One such type is psychographic segmentation, and it’s the one we’ll be going over in detail. And for this to be possible, customers must be treated as individuals, with unique wants and needs. Every company wants to make sure their customers feel like they matter, right?

How Do Psychographics and Demographics Differ?

In the age of GDPR and data privacy concerns, collecting and using psychographic data must be done respectfully and transparently. Psychographics describe tendencies and averages, but real people are nuanced. One danger in segmentation is that marketers might start thinking of all customers in a segment as identical "personas" and lose sight of individual differences.

Opinions, attitudes, and beliefs

Many people within your company will have information about your target customers (like your sales team or customer support team). Lifestyle is the collection of someone’s day-to-day activities and includes things like their associations, where they live, and where they spend their time. Some marketers go beyond demographics by taking psychographic psychographic data into consideration, looking at attitudes, values, and desires.

Their messaging seems inauthentic and doesn’t really resonate with anyone in particular. When marketers try to appeal to the broadest possible audience for their products and services, they often end up feeling exhausted without much to show for their efforts. It’s much more specific than our wider target market, which is important because we can craft target audience marketing collateral that speaks directly to the challenges and needs of this influential group. Implementing a reliable bookkeeping system ensures these businesses maintain accurate financial records while scaling their operations. Your market target broadly describes B2C or B2B consumers who care about your product or service and, under the right conditions, are most likely to spend money with your company. A target audience is a group of consumers within a predefined target market that has been identified as the best recipients for a particular marketing message.

This could provide insight into why someone might buy a specific product, support a given cause, vote a certain way, and much more. In contrast, a psychographic profile contains information around a person’s interests, hobbies, emotional triggers, and lifestyle choices, among other data. Just because two people are roughly the same age and earn similar annual incomes doesn’t mean they share similar political views or personal values, for example.

The Hooley’s Segment Attractiveness and Resource Strength Framework is another way to identify which segment is the best choice for your next campaign. After doing some deeper research on your identified segments, you’ll want to choose the segment you want to target in your marketing campaign. Here, you’re exploring your broad market to better understand what groups exist within your target market. A market segmentation strategy is the process through which you identify, organize, research, and target a specific segment of a broad target market. Segmentation for B2B (Business-to-business) marketers differs from the kind of segmentation B2C (business-to-consumer) marketers do.