How thinking smaller could have an even bigger impact on your bottom line
Over 5 years ago, Google and Facebook made a loud and proud proclamation that mass-marketing could be dead and buried within a generation. They said that the shift to mobile web and micromarketing is continuing to become the most dominant form of advertising. And are they wrong? Probably not.
The era of micromarketing has arrived! It’s out with the old, and in with the new. So, what exactly is it? And what do we have to learn from the downfall of it’s older (and possibly not any wiser?) sibling, mass marketing?
Micromarketing is continuing to become the most dominant form of advertising
The first step to learning more about micromarketing, is to understand what exactly mass marketing is. Simply put, it can be defined as: “the advertising or promotion of a product, good or service to a wide variety of audiences with the expectation of appealing to as many people as possible.” When we think about mass marketing, we could think of the brands that have mass-appeal, and big money – the Coca Cola’s of the world.
Okay, so… let’s get back to micromarketing. What is it? It can be easily defined as: “...a marketing strategy in which advertising efforts are focused on a small group of highly targeted consumers.” We’re talking about defining an audience’s characteristics, and demographic information – and getting a little bit more personal, by segmenting these audiences in order to build campaigns that are highly targeted.
The shift to mobile web and micromarketing is continuing to become the most dominant form of advertising
So what do we need to think about when incorporating micromarketing into our brand strategy? And importantly… what benefits are we going to reap?
Here’s 3 key reasons why you need to get on-board with micromarketing:
Highly targeted: We can go deep, and can get very granular with who we want to target! Why is this important? It’s because you’re drilling down into a demographic, right through the bedrock – and picking the specific gems that are going to have more relevance to your brand, rather than a mass appeal. Think about how you could be targeting a 30-yo professional female, that has a high disposable income, and is located in the central city suburbs of Sydney, and just bought their first pet. This is all possible.
Wise spending: Let’s talk about that cash money! Through utilising highly targeted audiences, we can put our budget toward those that are going to listen. That’s not to say we shouldn’t put money behind the campaign, it’ll just be more wisely spent than a let’s be everywhere and hit ‘em with everything we’ve got approach!
User-Generated Growth: One of the cooler things? It plants seeds, especially in niche areas that attract early adopters. The beauty of this (rubs hands together) is that alongside your marketing campaign, your highly-targeted audience is helping you tell others about it. People love to share things they love, and what you’re selling should be no exception!
Go on… Give us an example... What’s a good campaign look like? And what fundamentals could you incorporate into your brand strategy? What are the chances that you’ve heard of Uber... Pretty darn high. It’s the go-to rideshare platform (at the peril of the archaic taxi industry) we all know. So, why do we all know it and use it now?
Through utilising highly targeted audiences, we can put our budget toward those that are going to listen
The fact is, Uber’s beginnings did not start out as the wide-reaching rideshare model it is today – it was quite the opposite. “In the beginning, it was a lifestyle company. You push a button and a black car comes up,” said Uber’s founder, Travis Kalanick, “It was a baller move to get a black car to arrive in 8 minutes.”. To begin with, Uber started the ball rolling, by using a highly-targeted micro-marketing campaign in the San Franciscan market. In the beginning stages, this was Uber’s core strategy – they relied on the simple creation of a solution, to solve a problem on a local level. That problem? San Francisco had poor cab infrastructure, dirty taxis, taxis did not accept credit cards, and drivers would refuse to go to certain parts of town.
By making this informed move, Uber was able to highly target, spend their marketing budget wisely, and importantly... attract early adopters for user generated growth. This then meant the service spread from city to city like wildfire. The same campaign was then duplicated in each city on a local and micro level, and offered free rides, or credits to expand the buzz even more, pivoting into the rideshare company we all know and use today.
So, are you ready to talk more about micromarketing? Learning more about the basic fundamentals that drive consumers to adopt and purchase are beneficial in driving your brands bottom line. The moral of the micromarketing story? Thinking smaller can have a big impact.
Let's make micromarketing part of your strategy. Compass will get your brand where it deserves to be – get in touch with us now.