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How to Maximize Sales by Micromarketing

Posted by Michelle Kratzer on Jul 18, 2019 9:31:00 AM
Michelle Kratzer

Whom do your marketing efforts target? Should a business that manufactures baby bottles market them to men over 60? Do Mass Marketing campaigns reach consumers who might actually buy your products? Is it time to streamline and narrow them?


Artificial Intelligence, or AI makes it possible for us to hone in and focus on consumers most likely  to be interested in our products.

Could focusing on a smaller demographic enlarge your marketing campaign's ROI? Micromarketing proponents say yes!

old man

Are you trying to sell him a baby bottle?


Micromarketing drills deeper into demographic segments to capture a very small group, usually because they share a particular attribute. That attribute makes them more likely to be interested in a certain product or service. 


Not all of us are exactly the same.

Massmarketing only sends one message to all consumers.


Conversely, Mass Marketing blankets an entire area with one generalized message regarding your product or service. Mass Marketing messages are typically sent via TV, newspaper and radio ads. The advertisement is blasted out to everyone on the channel, with the hope that some of the target audience is reached.


Before we consider which is better for your business, take a look at these 4 ways to split a marketing demographic:

4 Different Ways to Split a Demographic:
  • Mass Marketing - Presents a single marketing message to all consumers. Does not employ data on consumers or consumer groups to target the message.
  • Segmented Marketing - Targets a wide demographic segment of consumers. Divided into segments by standard levels of data on consumers like gender, location, marital status, age, etc.
  • Niche Marketing - Targets a narrower group from a specific demographic segment. Artificial Intelligence, or AI, used to divide group by characteristics like lifestyle, spending habits, attitudes, etc.
  • Micromarketing - Targets the narrowest group of consumers from within a niche group who share a particular characteristic which makes them more likely to purchase a product. This can get as narrow as one-to-one marketing.


Next, consider the pros and cons of Micromarketing:


The Upside of Micromarketingupside
  • With a smaller segment comes less competition. Mass marketing messages can be largely ignored, but specific offers that are interesting to the lifestyle of the consumer are likely to be seen.
  • Builds loyalty when customers see that offers personally relate to them.
  • Consumers are so happy, they advertise for you.
  • Cost is lower because message is being spread to a smaller number of consumers.
  • Better for giving insights on what particular groups want. Can be used in the future if you want to sell a related product to a similar group.
  • 58% of shoppers say they want more personalized offers.


The Downside of Micromarketingdownside
  • Does not reach all of the consumers who would be interested in the product; whereas a mass marketing effort will reach all consumers.
  • Takes mounds of data, time and resources to analyze and predict which consumers would be interested.
  • May be unusable in other segment’s marketing campaigns because it is so specific. Does not scale.


If you decide that Micromarketing will work for your business, reach out to your target group with the type of advertising design and language that will resonate with them. Most importantly, choose the distribution channel your target group frequents. The list below will help.


Social Media Platform Used by Different Age Groups:selfie
  • Prospects age 18 - 30 prefer YouTube, Snapchat & Instagram
  • Prospects age 30+ can be found on Facebook & Youtube
  • B2B sales leads most likely frequent Twitter & Linkedin
  • B2C customers haunt Twitter, Instagram, Snapchat & Reddit
  • Executives prefer Twitter & LinkedIn
  • Prospects seeking visually stimulating products may search on Snapchat or Pinterest


Micromarketing can be used to reward loyal customers with offers, lure in new customers with great deals, appease angry customers or reach particular customers in concentrated segments or areas. Micromarketing is used to offer products and services to those who match a certain lifestyle, location or characteristic.

Uber Micromarkets for Fast Growth

Uber, the San Francisco based ride-sharing company conducted one of the most successful micromarketing campaigns, proving how effective this strategy can be. The company, founded in 2009, implemented a micromarketing strategy in each city they were moving into. They researched traffic areas and transportation problems and partnered with different associations to help solve problems and issues.



Was this life before Uber?


Uber also used social media to spread the word about the services they offer. Special promotions for different cities were announced and documented on social media, creating a buzz. Then Uber encouraged customers to share their experiences on social media. Before long, everyone had heard of Uber, and the concept of “Getting an Uber” or “Ubering home” invaded our everyday culture. Today Uber has expanded into over 700 cities across the world to serve their 93 million users.


Will Micromarketing work for your business? Narrowing the target demographic means less competition and custom offers build loyalty; but, analyzing data takes time, money and resources that you may not have. If you'd like to try micromarketing but you need to keep your costs low, click on the image below. We'd love to help.

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Topics: Business & Marketing, Business Strategy

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