October 1, 2021

How Do Companies Use Demographics in Marketing?

By l1nk3b33k

]Here are some of the ways companies use demographics in marketing:

Social media marketing. Most social media platforms’ key demographics are readily available. Your company can use these demographics to inform your social media strategy. Look at where your customers’ demographics overlap with those of social media. For instance, if your customers are primarily women and you see that Pinterest’s user base is overwhelmingly female, you may find Pinterest campaigns especially useful.

Ad spends. Knowing your customers’ demographics can inform your ad spend strategy. Age group is a particularly powerful demographic for ad spending, especially for products that target young adults who spend often or older adults with greater spending power. According to one survey, during an eight-month period in 2018, digital advertising efforts geared at people 65 or older increased by 25% and ad spending for data on consumers ages 25 to 34 increased by 23%.

Marketing campaign images. Visuals and images, whether digital ads on websites or large ads seen at public transit stops, can be crucial to your marketing plan. However, if these visuals are not relevant to the groups you are targeting, the images will be far less effective. Use demographics to help you decide whether your images should appeal to women or men, older or younger customers, people in urban or rural areas, and more.

Ad and marketing image placement. Speaking of public transit ads, why would you place ads for a product with a mostly rural consumer base in subway stations or on the sides of buses? That’s why so many public transit ads are for movies or apps: People living in urban areas tend to use these products and services more than rural residents do.
Key takeaway: Demographics and audience segmentation can help you determine where to place your ads for maximum return on investment, both in digital marketing channels and for more conventional ad placement.