Business market segmentation has some main variables which are used to separate the market. It’s not much different from dealing with personal segmentation, more commonly just referred to as segmentation but focused on consumers. It is a little more difficult to sort out. As you look at this list, you will note that there are similar points with personal (consumer) and business segmentation – with the exception of operational practices and business type.
- Location – Which country and the region does the business operate, and how many offices do they have?
- Business Type – What industry are they in? Do they have a staff? What size are they? What types of products do they sell? What type of technology do they use? Who owns it and what are they like?
- Operational Practices – Who makes the buying decisions in the company? Are they loyal to a particular brand? How fast do they make their buying decisions?
- Culture – Some businesses are early adopters of new technologies, and some are slower. How do they make decisions? Do they make decisions with emotions or data? Are they innovators?
- Goals – What are their overall business goals in terms of growth, marketing and so forth? Do they want people to be loyal to them?
Knowing these segments is different from knowing how to apply the segmentation to build relationships and increase sales. Once you divide the market into similar groups, you can get started with the education of the market to boost sales and conversions. Here are three things to keep in mind.
Segmentation Improves Business Decisions
Proper segmentation can improve customer acquisition, retention, response rates and more. It will help you evaluate the customer in a new way, including understanding the costs that will be incurred to market to them versus the potential earnings possible.
Segmentation Helps Identify the Best Customers
When you have the market divided, you’ll be able to determine exactly which portion of the market consists of your best and most promising customers. This can help you avoid wasting time with people who will never convert.
Segmentation Can Help Determine the Best Way to Market to Them
When you segment your market you can learn a lot about them, which will enable you to create marketing messages that are more targeted. Even though it’s all the same “market,” there are huge differences within each segment of the market. This makes it imperative to use different methods to send them information that is tailored to their demographic.
When you make segmentation decisions you need to know why you’re grouping them together. Ensure that you have some sort of marketing decision to make based on that segment before you go forward. Determine the cost of resources, including time involved in your decisions. Using business segmentation to help drive marketing decisions will inform your choices, and will allow you to gain a huge competitive advantage over your competition.
Most shoppers are picky these days. In the history of business, it has never been harder to get someone to buy from you, but when you do, it can be easy to get them to buy again, and again. People are turned off by the hard sell and by many of the tactics used by professional sellers. But, the fact is that some of the tactics work. If they did not work, people would not do them. Here are a few tried-and-true practices you can use to turn shoppers into buyers.
- Nurture the Relationship – Get them to sign up for an email list to receive news about your products and or services. This works for bricks-and-mortar businesses and digital businesses alike. People like feeling special and getting special notice of sales and events happening surrounding the products they like.
- Automate Your Processes – Thankfully, you can put things on autopilot with the right email marketing software like Infusionsoft. These systems allow you to send people information automatically, leading them through the buying cycle with information that they long for.
- Consider Pop-Ups – Yes, some people hate them, but the truth is they DO work. They increase sales by more than 20% in some cases. You can make beautiful pop-ups using software like ThriveThemes.com, which helps you create converting sales pages and pop-ups.
- Retarget Website Visitors – A really useful feature of online marketing today is the ability to put a cookie on your web site that any visitors automatically receive on their computer. Then when they go to Facebook or Google, the things they left in their cart, or the things they looked at, are shown to them again.
- Always Include a CTA – You would be surprised at how many people forget the CTA. This includes actual bricks-and-mortar stores. If a sales person does not ask for the sale, or you do not send them a reminder of what they want, you may not make the sale.
- Incentivize Your Sales Process – Give your customers incentives to buy. The more they buy, the larger the discount. Let them have an opportunity with each purchase to win their purchase. Give the 1000th buyer a prize!
- Encourage Referrals – Ask current customers to recommend and refer their friends and family and earn incentives. You can do it by points, by monetary reward or any number of ways, but make sure they want to refer you and that they are real customers.
- Add a Live Chat – When you sell high-priced items, it is a good idea to have a live chat open at least part of the day to help people with questions that they have. A live chat can push shoppers over the edge to purchasing.
Turning picky shoppers into buyers will work on all your customers and future customers. It is important to know your audience and then leave no stone unturned to make those sales effortless.
Sometimes you just need to make some extra cash and make it fast. You already have products and/or services that you market to your audience and there is no time to come up with something new. So, how can you boost sales for quick cash without adding anything new or doing anything time-consuming?
- Add Complementary Services: Figure out how you can make the item even more desirable to the audience by adding a complementary service or product to the original offering. For example, if you have a services business, up the ante by adding a little extra work to the service.
- Extend Your Demographic: While normally you want to niche down your offerings to a very specific crowd if you can offer the same items to another audience without many changes, do it now.
- Enter a Joint Venture: Getting access to other people’s email lists and audience, is the main reason for entering into a joint venture. Get with some other people who offer complementary products or services to yours and host a webinar together.
- Have a Limited Time Bundle Sale: Mix and match your products or services in a brand new way for a limited time. Make it something that your audience will really want and that they really need, and you’ll have a winning combination.
- Incentivize Your Affiliates: If you have affiliates or sales partners, give them a big incentive to start selling more. A prize for selling a certain amount, or for selling the most, will encourage them to promote you even more.
- Offer Extras to Your Existing Clients: If you have a client list, reach out to them with a special sale for only existing clients. Ask them to double their order for 1/2 off of the second order, or some other discount you can afford to offer.
- Accept New Payment Methods: If you’re currently only offering limited payment methods, find out from your audience with a survey what other options they’d like. Sometimes just giving them a new way to pay makes all the difference.
- Offer Payment Plans: If you have a high priced item, offer a limited time payment plan, or sign up for PayPal credit so that your customers can get what they want today without having the full amount of money.
These easy ways to boost sales for quick cash can make a huge difference in your business and your bottom line. You’ll find that you can actually give yourself a raise anytime you want to use any of these methods. One final thought, look at reducing costs as well, check out the ins and outs of drop shipping.