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#Bookmarks2024: 3 benefits of audience segmentation
Audience segmentation is more than just a creative endeavour; it's an approach that can revolutionise your advertising strategies.
With the Bookmark Finalist Showcase and Awards just days away, Michelle Swart, Biddable Specialist at Mark1, the official naming rights sponsor to the 2024 Bookmark Awards, unpacks audience segmentation for successful targeted ad campaigns (Image supplied)
Ever found yourself staring at a Facebook ad for “cat yoga mats” while you’re allergic to cats and have a treadmill gathering dust in the corner? It’s as if the universe’s algorithmic overlords have decided to play a cruel prank on you, serving ads so hilariously off-base that you can’t help but wonder if they’re trying to sell you a bridge in Brooklyn next.
This is how your audience feels when your ads are not properly targeted to them. This is why audience segmentation is extremely important to the success of your campaigns.
Understanding audience segmentation
Segmenting your audience involves breaking down your target demographic into more precise subgroups defined by shared attributes. These attributes include demographics, interests, behaviours and more, allowing you to develop finely tuned ad campaigns that connect deeply with each segment of your audience.
By understanding and addressing the unique needs and preferences of these smaller groups, you can improve the effectiveness of your marketing efforts, engage your audience more effectively and, ultimately, achieve better results in reaching and converting potential customers.
3 benefits of audience segmentation
- Personalised messaging: An essential benefit of audience segmentation lies in its capacity to deliver tailored messages. When your audience believes that an ad directly addresses their desires and interests, their likelihood of engagement and conversion significantly increases.
- Improved click-through rates: Dividing your audience into segments empowers you to create ad content and visuals that are more relevant to each group. This enhanced relevance frequently results in higher click-through rates as users are more inclined to click on ads tailored to their preferences.
- Cost efficiency: Audience segmentation enables a more precise allocation of your advertising budget. Rather than displaying your ads to a wide audience, you can concentrate on those with the highest conversion potential. This minimises ad budget wastage and enhances your return on investment.
The 4 step segmentation process
- Data collection: At the outset of audience segmentation, data collection is paramount. Make use of the analytics tools provided by platforms to gain insights about your audience, including details like age, gender, location and interests.
- Defining segments: After gathering the data, pinpoint shared traits within your audience. For instance, you might uncover a segment of tech-savvy individuals who are interested in the latest gadgets and innovations and another segment consisting of parents with an affinity for family-oriented products.
- Creating custom content: Customise your ads for each segment involves creating distinct headlines, visuals and ad copy that align with the particular interests and requirements of each group.
- Testing and optimisation: Launch your segmented campaigns and monitor their performance closely. Adjust your strategy based on the data you collect. A/B testing can be invaluable to refining your approach.
3 Tools for effective audience segmentation
- Meta ads manager: Meta provides robust audience segmentation tools that enable the creation of highly targeted campaigns. You have the capability to refine your audience by demographics, interests and behaviours.
- Google ads: Google offers choices for audience segmentation, particularly geared towards search and display ads. You can focus on users by using parameters such as keywords, locations and more.
- TikTok ads: TikTok has evolved to offer advertisers advanced capabilities for honing their target audience. These features enable the precise selection of audience characteristics, including factors like age, gender, location, interests and even user interactions within the platform.
Delving into data, understanding your audience and crafting personalised content enables you to optimise ad targeting and leads to enhanced outcomes.
To witness digital mastery using audience segmentation (as well as other best-practice digital techniques), visit the Bookmarks and book your tickets for the IAB South Africa Bookmark Awards 2024, taking place on 15 August.
About Michelle Swart
Michelle Swart is a skilled paid media specialist with a proven track record in paid media for social, search and display. With more than eight years of comprehensive experience in the digital realm, her expertise spans paid media, community and website management, and SEO. Her primary focus lies in performance media, where she consistently delivers high-performing campaigns for both B2C and B2B clients. Her vast portfolio comprises clients in banking, telco, FMCG, and motoring. Fuelled by a commitment to excellence and a continuous quest for innovation in the ever-evolving digital marketing landscape, she thrives on challenges and has a passion for innovation.
