How To Target Your Online Marketing To Reach The Right Customers With The Right Offer

If you've been involved in marketing during thethe gamut of religious and spiritual beliefs, political
past decade, you've probably noticed that thingsleanings, socioeconomic levels, education and
are a bit different since this whole 'online' thing gotwhat's considered a fun way to spend a Saturday
underway.evening. In short, we share very few
While being online has starting to become ancharacteristics as a population apart from our
'ordinary' part of many people's day-to-day lives,choice to live in the same part of the country.
the experience of being online is very differentFor marketers trying to reach 'us' based solely on
from any other type of popular media.where we live, the results of any geographically
Those of us over the age of twenty clearlytargeted campaign are going to be just about as
remember a world without the 'Internet'. Back inuntargeted as you can get.
those olden days most media consisted ofTo reach a more refined group of people based
marketing channels to which the majority of theon attributes that aren't as generalized as most
population flocked. In exchange for giving peopledemographic groups, marketers need to find
access to this content, advertisers were givenways to measure 'who' consumers are instead of
access to the people who came to visit. They'what' they are.
tossed their messages in front of us as weHere are a few more recent targeting
wandered around hoping that something wouldapproaches that marketers are using to reach
catch our eye. Sometimes it did. Mostly it didn't.highly refined audiences.
Because these mass marketing models werePsychographic Targeting
based on 'quantity' and not 'quality' of consumers,For marketers to effectively target any audience
there was an up-front expectation that therethey need to have a clear understanding of the
would be a tremendous amount of waste.personal interests that the target audience shares.
Advertisers understood that even if they wereSocial scientists categorize this segmentation as
targeting the very best demographic group for anthe study of psychographics. Psychographics are
offer the vast majority wouldn't even see orcommonly defined as individual attributes directly
respond to the marketing offer.relating to personality, values, interests or
For marketers, it was the safety in numberslifestyles. There are sometimes referred to as
advertising approach that kept them going.IOA variables or characteristics (for Interests,
This approach also trained us, as consumers, toAttitudes and Opinions). Psychographics often
understand that our direct involvement in thetarget the most personal parts of who we are.
marketing process wasn't really necessary. TheWe belong to multiple psychographic 'groups'
TV commercials would continue to run whetherbased on our interests as individuals. Our
we watched them or not; the print ads wouldrelationship with each group ranges from little
stay right where they were printed even if weinvolvement to whole involvement. For example, I
didn't open the magazine or newspaper; the ad onmay take my bicycle out for a short spin on a
the side of the bus would keep moving downwarm summer day. This action classifies me as a
Main Street would keep going even if we ignoredbicyclist and helps me to identify with other
it.people who enjoy riding bicycles. However, my
But the arrival of the online world started toinvolvement in this group is very different from
change things and pretty dramatically. Consumersthe guy who's training for an upcoming Tour de
now have millions of "channels" to choose fromFrance and spends 6 hours a day on his bicycle.
and advertisers have fewer places where theyMy identity with bicycling is one of enjoyable
will reach mass markets. In fact, the veryweekend pastime while for the guy in training it's
structure of the Internet means that consumersalmost on par with being a lifestyle. If given the
don't even need to look at or interact withopportunity to purchase bicycling paraphernalia I'm
advertising anymore...unless they really want to.going to have a different perspective as to its
Culturally we've developed a number of ways tovalue and necessity than he will.
share information with one another. We've alsoMarketers looking to reach a thin-sliced audience
learned how to customize messages so that theyneed to understand common shared traits and
reach specific people. We never pick up the phonehow individuals in these groups 'weigh' their
and think 'Okay, I need to talk to every personinterests in these areas. Whether targeting deer
on Earth. What's the number?' We don't send anhunters, urban dwellers, backgammon players,
email to everybody in the company every timepeople of Scotch-Irish descent, unicyclists or guys
we have a thought to share with Sandy inwho mow their lawns on Saturday morning, the
accounting.value of each psychographic slice is going to
When we start any new marketing campaign wedepend on how the people in these segments
need to first think about who the campaign isdefine themselves.
trying to reach. What is the ultimate goal? What isTechnographic Targeting
the campaign saying? What obstacles can get inOnline targeting is often restricted by technological
the way of the right consumer receiving thelimitations that prevent marketers from reaching
message? What should the consumer do to takeconsumers. For marketers to effectively reach
advantage of the offer?consumers it's often necessary to know where
In the past mass marketing has represented thepotential obstacles or bottlenecks exist.
ultimate delivery mechanism for advertisingTechnographic targeting focuses on identifying the
messages but paints the audience with such atechnological foundations that consumers are using
broad brush that its goal of reaching the rightto connect with the Web. This includes things like
people can't be efficiently kept. To be trulycomputer CPU speeds, Internet connection
effective, a delivery system has to reach thespeeds, Operating Systems, browser types,
greatest number of individual consumers who canbrowser versions, and drivers or extra software
take action on the message being sent.availability.
The bottom line is that a message that reachesA common example of technographic targeting is
1,000,000 of the wrong people isn't moremeasuring the online bandwidth capabilities of a
effective than a message that reaches a singlevisitor to a web site. For example, if, as a
right person.marketer, I wished to send a video based ad to
The ultimate goal of effective advertising is tomy target audience I'm going to want to know if
maximize effectiveness while reducing waste.they can receive the ad. While broadband adoption
Correctly targeting a campaign means firstover recent years has made this task easier,
identifying who the best people to receive athere are still millions of people worldwide who are
particular offer are and how to go aboutusing dial-up modems to get online. Without
identifying where they are.knowing how my target audience accesses the
When we target online audiences that are threeweb, I run the risk of wasting impressions by
primary areas of exploration:sending ad content to people who can't receive it.
1. Contextual targetingOn the other hand, by measuring the connect
2. Database targetingspeed of my target audience, I can then sort that
3. Behavioral targetingaudience out into sub-groups and provide separate
Let's take a closer look at the differencesad units for each group.
between these three areas.Technographic measuring can also tell marketers a
Contextual Targetinglot about a potential customer. A high-tech
The simple definition for contextual targeting iscompany looking to introduce a new cutting edge
the placement of messages where the peopleproduct can effectively target prospects by
most likely to be interested are most likely to seemeasuring the operating system on the recipient's
it. Contextual targeting is perhaps the oldest typecomputer. Prospects running the most recent
of targeted marketing. For years, tradeversions of Windows or the Macintosh OS might
magazines, area newspapers, local televisionbe classified as being technologically savvy while
stations and local radio stations have served asprospects still running Windows 98 on a 7 year old
channels for contextual marketing campaigns.PC are probably not good candidates for
Because each channel caters to a specific rangemarketers looking to reach 'early adopters'.
of the population either based on topic interest orCentrographic Targeting
region, advertising using contextual targeting hasWhile geographical targeting is generally considered
generally meant reaching an audience that haspart of standard demography there are a few
already been 'filtered' down to a common interestvariations that fall outside of the basic geographic
or locale.targeting realm. Whereas most geographic
In online marketing, contextual marketing works intargeting focuses on regions and areas of the
a similar way. Many web sites focus on, or havecountry and world based on their proximately to
sections that focus on a single or limited range ofone another, centrographic targeting focuses
topics. Like trade publications, these sites attract amore on population characteristics that can be
self-selected audience who share a commonassociated with specific regions.
interest whether its butterfly collecting, paintballFor example, every winter across the Northern
battlefield strategies or exploring the validity ofUnited States there is a need for snow removal
UFO sightings. For advertisers looking toservices. There is also a need for services like
communicate with these specific groups, goodheating system maintenance, fuel delivery and
targeting is as easy as placing topically relevantsales of things like ice scrapers and snow tires.
ads on those pages.Meanwhile, in the Southwestern United States the
Demographic Targetingneed for these services or products each winter
Demography covers a broad range of ways ais very limited or non-existent. On the other hand,
population can be sliced up to define certainthe hot summers in the Southwest requires air
segments. A few of the more traditionalconditioning and home cooling services that are
segments include:not always necessary in the North.
- Age/ LifecycleCentrographic targeting can also identify and
- Genderisolate differences between population groups. For
- Race/Ethnicityexample, people living in a city like New York are
- Socioeconomic statusgoing to have a different perceived need for
- Location of residenceproducts and services than people living a few
- Religionhours north in rural New York might. Even staying
- Nationalitywithin the boroughs of New York, the cultural
- Occupationdiversity of different ethnic groups alone makes
- Education levelfor dozens of unique regional markets.
- Family sizeSignificant differences can also exist among
- Marital statuscultural groups that share a similar language and
- Ownership (of home, boat, car, etc.)history, or current geography. For example,
- LanguageHispanic populations living in Southern California and
While many of these characteristics canthose living in Southern Florida may share
effectively narrow a population down into ancommon cultural histories and ancestry but
audience, traditional demography often offers justrepresent very unique markets based on unique
a generalized benchmark of behavior.regional characteristics.
For example, I currently live in a fairly rural partWhile reaching those audiences requires a new
of the country. While I share a number oflayer of understanding on the parts of marketers,
demographic characteristics with other peopleif used correctly the ability to reach more of the
within my particular zip code (middle aged, white,right consumers with any marketing offer is also
own my own home, went to college, married,going to result in greater effectiveness and much
speak English, or a variant thereof) thoseless waste.
benchmarks do a lousy job at identifying us as aRob Graham - LearningCraft, LLC.
whole or me as an individual. My little town runs