Do you know who your target customers are? Do you know where they live, how they shop, and what motivates them to make a purchase? Knowing the answers to these questions allows your company to develop goods and services that meet your customer’s expectations and to create a marketing plan tailored perfectly to your target audience.
A market segment template is an ideal tool for identifying your customer base. Using this tool can help you better understand who your target customers are and how they shop. Keep reading to find out what market segmentation is and how it can help your business grow.
What is a market segment template?
Market segmentation is a business tool that organizations use to classify current and prospective customers into various categories based on specific traits. For example, you may separate your customers into groups based on age, location, or shopping behaviors. Separating your current and prospective customers into groups, referred to as segments, allows you to provide a more personalized customer experience, invest in targeted marketing campaigns, and improve customer engagement. For instance, it’s likely that you need to market your goods or services differently to seniors vs. young adults. After all, these two groups of customers have different needs and interests.
A market segment template is a tool that companies use to organize and identify each segmented group.
Why use a market segment template?
It allows you to compile all the data pertaining to a specific group onto one form. This format makes it easier for sales and marketing teams to identify each target customer group. There are four primary methods that most organizations use to classify their customers, including:
- Demographic segmentation: Most companies separate their customers into basic demographic groups, including age, gender, marital status, family size, education level, income, race, nationality, and occupation. This data is usually easy to collect. In fact, many companies request some of this data through online memberships or discount deals.
- Psychographic segmentation: This method breaks customers down based on psychological characteristics such as personalities, opinions, attitudes, and interests. Companies can gather this information by using surveys, focus groups, and interviews.
- Behavioral segmentation: As the name suggests, behavioral segmentation classifies customers based on their behaviors such as how they shop, where they are active online, and what motivates them to make a purchase. Historical data and market research can help organizations identify these traits.
- Geographic segmentation: Geographic segmentation separates customers based on their primary location. This data is easily assessable and is extremely helpful for marketing purposes.
To better understand exactly what market segmentation is and how it works, it’s best to look at a few examples.
What are some examples of a market segment template?
A market segment template, sometimes referred to as a buyer persona, helps companies better understand their target customers. If you look closely, you’ll notice many examples of companies using market segmentation to classify and market to varying segments of customers.
Take Victoria’s Secret, for example. For decades, the company’s primary focus group was women. In the early 2000s, however, the company came to realize that it was missing out on a prime target group: teenagers. Through a comprehensive market segmentation strategy, the company launched its PINK brand, which it gears specifically towards the teenage audience. To make this successful, Victoria’s Secret uses market segment templates to develop a buyer persona for each group.
Pepsi is another company that does well with market segmentation. While it started as a soda manufacturer, it has grown substantially to meet the demands of all its customers. As with Victoria’s Secret, Pepsi uses market segment templates to classify each type of customer. For example, Pepsi’s Lifewtr products target its health-conscious customers, while its Gatorade selection targets sports-minded customers. To make this expansion successful, Pepsi invests in ongoing market segmentation analysis that allows it to better understand its customers and develop effective marketing strategies.
To build an effective marketing strategy, you need to develop comprehensive and accurate market segment templates. At monday.com, we offer customizable market segment templates that allow you to better understand your target groups.
Market segment templates on monday.com
Market segment templates allow you to develop a buyer persona for each type of customer group you choose to classify. Depending on your segmentation strategy, you could develop dozens of market segment templates.Fortunately for those who need help with buyer personas, monday.com’s Market Segment Templates are user-friendly and easy to customize.
In fact, you can pull data from your monday.com Work OS to fill in some of the information on the template. Market research, historical data, market segmentation matrix, and customer insights can help you fill in the rest. Once you develop a monday.com Market Segment Template, you can easily share it with the rest of the teams, including customer service, sales, marketing, product design, executives, and more. These teams can then suggest changes to make it as accurate as possible. Most importantly, it ensures that all key players within the company have a clear idea of what each of these target groups looks like, how they behave online, and what motivates them. monday.com’s Work OS and Market Segment Templates are not the only tools that can help your company develop an effective marketing strategy.
Related templates on monday.com
monday.com provides dozens of template options to help companies develop, implement, and track successful marketing plans. For example:
Marketing strategy template
While our Market Segment Template can help you develop a strong marketing strategy for each customer group, our Marketing Strategy Template allows you to monitor the success of each marketing plan. This can help your company stay on budget, improve campaign efficiencies, and measure the success of each marketing technique your company uses.
Campaign tracker template
Our Campaign Tracker Template makes it easy for your teams to schedule, execute, and track multiple segmentation campaigns simultaneously. This feature allows you to reach all your customers through targeted marketing campaigns.
Email marketing template
Email marketing is an important marketing tool within a greater marketing segmentation strategy. Using the Market Segment Template, you can send targeted emails to each customer group. Our Email Marketing Template allows you to schedule and send emails automatically as well as track their success rate. monday.com also integrates with popular email tools such as Gmail, Outlook, and MailChimp.
Client management template
Our Client Management Template is ideal for those companies who work directly with their clients. This template allows you to track communication with clients and ensure the team resolves all client issues. You can use this template to extract client data such as what form of communication each client prefers.
Frequently asked questions
What are the four types of market segments?
The four primary types of market segmentation include:
- Demographic segmentation: This tool separates your current and potential customers based on a variety of demographic information, such as age, gender, education level, income, and occupation.
- Psychographic segmentation: This segmentation tool divides current and prospective customers into groups based on psychographic features, such as personality, opinions, and attitudes.
- Behavioral segmentation: This segmentation type identifies customers based on various behaviors such as how they shop, how they behave online, and which social media platforms they use most. These customers are then placed into different groups based on these identifiers.
- Geographic segmentation: Geographic segmentation classifies your customers into different groups based on where they live.
Companies then use this segmentation to develop marketing plans that target each specific group.
How do you write a market segment?
The first step in writing a market segment is to invest in market research and complete a market segmentation analysis. This step can help you determine how to divide your groups, or “segments.” For instance, do you want to divide your groups by age, gender, location, online behaviors, personality, or a combination of several factors? Once you know how you want to divide your groups, it’s time to classify your current customer base as well as prospective customers into these various segments.
After these steps are complete, you can use our Market Segment Template to fill in the data. You can start by naming the segment group, writing a brief bio to describe this customer, and describing what makes this customer want to buy your products and services. Then, you can fill in other information pertaining to their demographics and buying behaviors. These templates can provide insights as to what type of marketing campaign would work best for each target group.
Use market segments to better understand your target audience
The most important benefit of market segmentation is that it allows you to better understand your target market. With this information, your company can better determine what to invest its time and money into in order to entice this target audience to make a purchase.