SMS marketing is an effective strategy of reaching your goals. However, to make the most of it, you need to ensure you are reaching the right targets. In other words, you have to carefully choose who gets to receive the campaign. This guide will help you perform customer segmentation to ensure your success
An overview
Customer segmentation refers to dividing your customers into various groups depending on their common traits so we can target each group more effectively. It is important to segment your customers before you launch your SMS campaign.
Why is it so important?
It allows for more appropriate and relevant messages to be sent to your customers. It gives customers a sense that you know them well, and in turn give you loyalty towards your products or service and additionally gives you a higher CTR(Click-through rate). So, you get to benefit from effective marketing campaigns and your customers benefit from desired information.
Key ways to Segment your SMS Subscribers
1. Demographics
This includes religion, age, gender, lifestyle, and the level of education. Your business can use this method to focus resources on running a campaign relevant to a specific group in this segmentation. For example, you can set the campaign at the appropriate reading level based on the users’ educational level.
2. Geographical
It’s advantageous to target audience based on their location. This includes where they live, work, shop, and travel. This lets you be mindful of what’s available in their area, then sending offers and product launches exclusively to customers in a specific location.
3. Behavioral
A business can use measurable trends such as their customers’ purchasing patterns, or brand loyalty to streamline the flow of their SMS marketing campaigns. An example would be sending an sms campaign about an offer on a specific brand to people who like to purchase that brand. Another example is you can notify them about discounts or coupons when it’s been a while since their last purchase.
4. Psycho-graphics
Let’s you categorize people depending on psychological criteria such as goals, preferences, and attitudes. As an example, you could target users that are passionate about beauty, and send marketing that tugs on their heartstrings.
Best practices for using sms targeting and segmentation to keep in mind
1. Re-engage dormant users
You can define a segment/ contact list of customers who have not interacted with your business in a set amount of time. You can remind customers what they are missing and let them know about new product lines and discounts.
2. Turn frequent customers into brand advocates
Target customers who make purchases frequently and put them in a referral program with discounts for new customers the bring you in. Word of mouth is the quickest way to gain more customers.
3. Upsell converted customers
Use SMS marketing to upsell customers you have already converted. It uses the ideology that gaining repeat customers costs less than attracting new ones. You can create a contact list of customers you have been purchasing frequently but recently stopped.
4. Welcome gift to new users
You can have a contact list of new users or potential customers. Can include newly signed up users. Use sms marketing to encourage them to engage with your website or app and let them know about key features
