Analyzing Demographics, Psychographics, and Behavior

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Demographics Psychographics Behavior

Digital Marketing For Contractors Can Be Tricky

Does this sound familiar? You spend hours of your day creating social media posts for your contracting business. However, these posts don’t convert any of your followers into customers—costing you time and money.

You may struggle to generate new leads even if you produce content regularly. Analyzing demographics, psychographics, and customer behavior can help you improve your marketing efforts quickly.

This blog will discuss the fundamentals of market segmentation and why analyzing customer data is essential to your digital marketing campaign.

What Is Market Segmentation?

Let’s say you need to create a new email marketing or pay-per-click (PPC) advertising campaign to promote your roofing business. You have a target demographic — middle-income homeowners between ages 35 and 65. 

That’s all the information you need to appeal to potential customers—right?

Well, you actually need to get even more detailed with your target demographic.

Your target audience is more complex than their respective demographics. Their outlooks on life, perception of your brand, and daily habits contribute to how they interact with your company’s content.

Market segmentation breaks the data of your ideal customer into four categories: Demographic, psychographic, behavioral, and geographic. 

These categories help you unpack the identity of your target market to create relevant content that suits their deepest-held beliefs and expectations. 

Analyzing each category in detail will help you optimize your online presence and encourage higher click-through rates on your social media posts and articles.

Differences Between Demographics and Psychographics

What are the primary differences between demographics and psychographics? 

Demographics identify people based on their social characteristics:

  • Age
  • Gender identification
  • Employment status
  • Annual earnings
  • Nationality
  • Locality
  • Education level

Psychographics dig a little deeper into the identities of your target market:

  • Lifestyle habits
  • Moral values
  • Interests and hobbies
  • Health
  • Attitudes
  • Opinions about customer service

Behavioral and geographic data sometimes intersect with demographic and psychographic information. 

For example, behavioral data may identify the consumer patterns of your target market and how they interact with social media sites like Facebook.

Geographic data will determine if your target market is local, regional, or national and if those locations impact their behavior or values.

Psychographic Analysis

Creating a psychographic profile is a vital part of digital marketing for contractors. Trying to appeal to everyone often means you will appeal to no one. 

Psychographic profiles organize the attributes of individuals or groups in your target market. 

Consequently, it helps you identify who is receptive to your services and how you can plan your marketing content and campaigns to accommodate their needs.

Let’s take a look at an example psychographic profile of a client for a kitchen renovation company:

Demographic

  • Gender: Female
  • Age: 38
  • Marital Status: Married
  • Annual salary: $50,000+

Psychographic

  • Worried about the look and practicality of their cooking space.
  • Seeking to modernize their kitchen layout, walls, and flooring.
  • Wants a kitchen remodel, but lacks the skills or tools to do it themselves.
  • Frequently spends time on Etsy, Pinterest, and Amazon shopping for home decor.
  • Does not want to pay over $20,000 on renovations.
  • Spends time with their children when they return from school and recreational sports.
  • Loves to cook.
  • Uninterested in selling their home any time soon.
  • Entertains guests at the house once or twice a week.

Putting the Data Together: Applying Demographics and Psychographics for Marketing

As you can see, this client’s demographics and psychographics allow you to draw helpful conclusions for your content.

Suppose you want to write a blog encouraging them to choose your business. 

In this case, you may acknowledge that they enjoy browsing the internet for design ideas. 

Despite their $50,000+ income, you can also assume they don’t want to spend too much on lighting fixtures or countertops due to their budget preferences.

Your article could cover topics like:

  • 10 Cost-Efficient Ways to Renovate Your Kitchen
  • Stunning Kitchen Designs for Guest Entertainment
  • How to Modernize Your Kitchen Cabinets on a Budget
  • Why Hire a Professional Designer for Your Kitchen Remodel?

How to Identify Demographics and Psychographics

Interviewing every potential customer about their social status and behaviors is impractical. So how do you collect valuable data with digital marketing for contractors? 

Here Are A Few Methods:

1. Speak to Current Clients

Whether you have a dozen or a hundred clients, speaking with several of them may help you identify consumer patterns. 

You could offer an online survey after they pay their bill. 

Alternatively, you could ask them while you work about what they like to do for fun, how they spend their evenings, or what motivates them.

Always keep your questions professional to avoid overstepping their privacy boundaries. 

Sometimes, it’s better to be direct about your questions and explain that you are collecting information to better accommodate their needs in the future. 

This method could help you gather data and promote customer retention.

2. Use Website CRM Tracking

When people interact with your landing pages, social media accounts, and emails, customer relationship management software (CRM) can track and reports this engagement. 

You can use metrics to determine which type of content is most effective for your target audience. 

Some social media platforms provide analytic dashboards, so you can monitor the habits of your followers in real-time.

You can also A/B test images, content, and layouts to see which user experience provides the best results.

3. Run a Focus Group

Focus groups are clusters of individuals who have no connection to your contracting business. 

To collect more data, you can survey focus groups that fit your target demographics and psychographics.

Create a comprehensive questionnaire or use social media to reach out to potential customers unfamiliar with your brand.

Psychographics and Demographics Can Improve Your Marketing Results

If you are on the top search engine results page but can’t make a sale, it’s time to rethink your digital marketing strategies.

At Contractor Growth Network, we help your company maximize its conversion rates with a metrics-proven approach. 

Regardless of your content marketing challenges, our specialists will help you identify your target audience and tailor your messaging to achieve your goals.

Contact Contractor Growth Network in Charlotte, NC, to book a consultation. Call (980) 449-4384 for more information about digital marketing for contractors.

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