Regardless of whether we acknowledge it, our backgrounds, routines, and feelings significantly influence our actions.
Numerous individuals possess daily routines that drive them to repeat the same activities day after day.
If, for instance, you regularly indulge in coffee, you understand the instinctive urge and the daily necessity of that morning ritual.
As marketers, we aim to comprehend the identity of our metaphorical daily coffee drinkers and distinguish them from those who consume less frequently.
Behavioral segmentation entails more than simply acknowledging that people have different routines; it involves optimizing marketing campaigns to align with these behavioral patterns and convey a specific message.
In this piece, we explore the fundamentals and advantages of behavioral segmentation and how marketers can employ these tactics to achieve their business objectives.
Our infographic contains examples and tips for implementing behavioral segmentation in your mobile marketing endeavors.
What Is The Concept Of Behavioral Segmentation?
Behavioral segmentation involves categorizing and clustering customers based on their observable actions. These actions encompass the kinds of products and content they engage with and the frequency of their interactions with an application, website, or enterprise.
As marketers, we often navigate a delicate balance between psychology and business. Frequently, we rely on our marketing hypotheses regarding customer responses to promotional initiatives.
Behavioral segmentation, on the other hand, entails closely observing the behaviors exhibited by each customer to deliver customized messages.
Once users are identified based on their distinct behaviors, mobile marketers can direct messages and tailor campaigns for these target audiences.
Why Is It Important?
Upon identifying users based on their distinct behavior, mobile marketers can direct messages and campaigns specifically customized for these target audiences. The advantages of behavioral segmentation include:
- Customization: Behavioral segmentation goes beyond simply discerning the preferences of specific customer groups for products or services. It enables an understanding of the platforms they frequent and the messaging styles that resonate with them, thereby enhancing conversion rates.
- Resource Allocation: By knowing which segments exhibit the highest spending habits and how they allocate their expenditures, you can optimize your efforts to target these segments effectively.
- Projections: By examining the behavioral patterns within each segment, you can detect emerging trends and plan for the future with greater accuracy.
Strategies For Implementing Behavioral Segmentation
Employing personalization can yield favorable results, regardless of individual user behavior. By exploiting the power of personalization, one can go beyond addressing individuals by their names and significantly enhance user receptivity.
Additionally, your analysis can help in implementing various other strategies. These include retargeting campaigns, targeting complementary products, adopting marketing approaches based on attribution models, and even consciously avoiding certain customer segments.
1. Re-engage with Targeted Actions
Previous actions predict future behavior. Marketers gain insights into user behavioral patterns through consumption, similar to economic forecasting.
YouTube‘s recommendation system retargets users with relevant videos based on their interests and previous engagements, enhancing marketing effectiveness.
2. Implement Geolocation-Based Segmentation
Utilize location data for strategic user targeting. Geofencing enables the sending of push notifications to users in specific locations.
Ride-sharing apps effectively divide neighborhoods to anticipate demand and adapt pricing accordingly. By leveraging current location, past behavior, and the time of the day, predicting user destinations and enhancing the customer experience becomes possible.
3. Device-Based Pricing
As business interactions increasingly occur in non-physical settings, marketing strategies heavily rely on gathering clues to decipher the client profile puzzle. One such clue involves analyzing device data and comprehending how diverse audiences purchase devices.
For instance, Apple products, known for their premium price tags, tend to attract a wealthier customer base. On the other hand, Android devices and PCs, being comparatively more affordable, cater to a broader range of customers with varying levels of affluence.
By grasping the price sensitivity associated with different devices, companies like Orbitz have been able to customize their pricing strategies and display varying price points based on devices.
4. Recommend Complementary Products or Features
Building suggestion engines that forecast the items or features that each consumer may be drawn to next is made easier with the aid of behavioral segmentation.
To suggest further items, Amazon looks at your prior behavior and purchasing patterns with comparable tendencies. 35% of sales are attributable to this product/service recommendation, the outcome of behavioral segmentations.
5. Optimize Your Timing
The usage patterns of app users vary; some maintain a structured daily schedule, while others exhibit flexibility.
It is crucial to comprehend how often app users re-engage with it so that you can gauge when it is suitable to deploy push alerts, email marketing materials, or other means of communication aimed at bringing them back.
By examining behavioral data, one can fine-tune one’s message timing and extract valuable insights.
Suppose your business app is localized for South Americans — but after studying behavioral segmentations, you discovered many users were accessing it nightly.
For the highest level of engagement, consider sending push alerts just before midnight rather than mornings when insomniac app users are attempting to make up for missed sleep the previous night.
App developers in the media and news industries are thinking hard about the best way to use push notifications to reach their target audience.
While some news organizations contend that breaking news should never appear on lock screens, others are certain their segmentation tactics will give the most exciting material to each user.
6. Leverage Past Behavior
Past behavior provides valuable insights for predicting future actions and expediting the client’s journey.
Google Drive’s “Quick Access” app dashboard showcases commonly opened documents, including those relevant to the access time.
In their smart reply feature, Google employs historical behavioral segmentation, predicting the next phrase or word based on statistical data of word combinations in previous emails.
These tactics are accessible to businesses of all sizes, enabling effective audience targeting.
Now equipped with an understanding of behavioral segmentation, you can plan its implementation in your business marketing strategy.
