Targeted promotions have proven to be a game-changer for the shopping experience, impacting both customers and retailers alike.
In this article, we take you through 3 major steps to create targeted promotions.
Step 1: Identify who the target audience is
First, retailers need to identify who their target audience is. There are a variety of different options:
- Psychographic: Beliefs, values, lifestyle, occupation, interests
- Geographic: Region, city, neighborhood, area code, county, climate
- Demographic: Gender, age, education, religion, race, marital status
- Behavioral: Purchasing habits, brand interactions
Step 2: Identify the promotion medium type
Next, they need to choose the medium type. Here are a few examples:
- Social platforms
- Mobile app
- Web ads
- Store signage
- Store display
- Print ads
- Direct mail ads
- Search engine ads
- Product placement
- Podcast/ Radio / streaming services ad
Step 3: Identify the segments and rules
When creating targeted promotions, retailers create specific segments and rules. Segmentation involves grouping customers based on their product preferences (ex: new visitors versus loyal shoppers, athletes versus gamers) as each segment will buy different products or react to different promotions.
Examples of targeted promotions
- Specific customer
- Region
- Store
