Winning New Customers with Market Segmentation

Here’s another example- The Cemetery:

I had a client whose business was a cemetery in Miami-Dade County. When they expanded and purchased a cemetery chain in New Jersey I was tasked with the mass media part of the launch.

A quick survey of our current buyers revealed we keyed in on older Hispanics (65+), in lower middle-class neighborhoods, very conservative and that women were the key drivers.

We approached Prizm, which created psychographically-segmented zip-code maps, analyzed our top 10 neighborhoods in Miami-Dade and applied the same metrics to the new markets.

What is is PRIZM?

According to Scarborough PRIZM is a Nielsen segmentation system that combines 66 demographic and behavioral segments including 14 social groups based on affluence and urbanization and 11 lifestage groups based on affluence and lifestage. Learn where your best prospects shop, which brands they prefer, which magazines and newspapers they read, which TV, cable or radio shows they prefer, where they go on the Internet and more. PRIZM is ideal for clients who are large marketers with extensive customer databases, businesses looking to expand and choose new locations, companies interested in direct mail, agencies and marketers looking to find the right media mix and companies looking for ad content direction.

Market Segmentation needs to be actionable

By identifying homologous zip codes in those cities, we were able to use out of home, direct mail, newspaper zone inserts and other such vehicles to relaunch the cemeteries quickly and efficiently.

Segmentation that doesn’t allow you to actually segment your message away from the rest of the population (a waste) and into your group with a minimum of overlapping is not segmentation. It is a parlor game.

Build a your marketing strategy  based on market Segmentation, Response Modeling and Customer Lifetime Value modeling. They are the keys to winning new clients and retaining those that you have worked so hard to get.