For specialty retailers, defining your target market can be challenging. This is because your customers represent a diverse range of people from a variety of backgrounds. This makes personalizing your marketing efforts much more difficult. But with generational marketing, you’ll segment your customers by age and be able to reach out and connect with them more effectively.
Making a Better Connection
By dividing your total market into segments, you end up with smaller groups based on common characteristics and interests. Within each segment is a small group of people that are more likely to buy your products and services. This becomes the audience for all of your marketing efforts.
Personalization is more than just addressing your customers by their first name when sending emails or texts to them. It’s still very important to address them by their first name because anything with “Dear Customer” or no salutation at all will look like SPAM. But, if that’s the only connection you have, then your communications will miss the mark. Personalization makes a direct connection between customers and their interests in your products and services.
Segmenting by Generation
When you segment your customers into a specific group, you’re able to create campaigns that connect with them on a more personal basis. One of the best ways to segment your customers is by age, also known as generational marketing. Each generation has distinct features, likes, and dislikes, pursuits, and hobbies that make it a community of buyers. Understanding the characteristics of each group will help you communicate with them effectively.
Born between 1995 and 2010, the oldest age today: 25
This generation accounts for a third of America’s total population. They are digital natives and tech-savvy, looking for innovative shopping experiences. For them, shopping should be easy, convenient, and fast. To capture their attention, your marketing needs to align with their interests. They also make shopping a social event, and word-of-mouth is as crucial for them. This generation is ideal for brand ambassadors because they share everything online.
Born between 1980 and 1994, the oldest age today: 40
Millennials are no longer the youngest people in the workforce. Most have a career and are starting a family. They are the largest living generation in America and lead the way in spending. This generation is very tech-savvy, and social media plays a significant role in their lives, which is why word-of-mouth influences their purchasing decisions. Retailers need to recognize that millennials value innovative experiences at brick-and-mortar stores.
Born between 1965 and 1975, the oldest age today: 55
They were labeled as the “slacker generation.” Now, they are highly educated and have been in the workforce for several decades. They are self-reliant and want the best deal possible, which means that they will do as much online research as possible before making a purchasing decision. They are a perfect target for premium-priced goods and services, as well as luxury brands. Best of all, they are the most loyal to the brands they love. Personalized marketing with honesty, authenticity, and product quality will increase their brand loyalty.
Born between 1945 and 1964, the oldest age today: 74
This generation values interactions with knowledgeable salespeople, which lets them know that they’re getting a good deal on quality products. Alternatives and flexibility are essential to them, too. When developing a personalized campaign, their primary interests are tied to health and wellness. Customer service is also the key to winning the hearts of this generation.
Defining your target market allows you to communicate better with potential customers through personalized messaging. You build stronger, more meaningful connections with them when you bring them content and offers that fit their lifestyles. Generational marketing will take your customer loyalty efforts to the next level.