There are numerous advantages of targeted marketing; the key benefits being…
Cost – Mass marketing campaigns generally cost businesses more than a targeted marketing campaign which only focus on people who would be interested in their product in the relevant location.
Effectiveness – When businesses initiate a targeted marketing campaign, they only target a segment of the market that they believe will be interested in their product.
Due to the market consisting of people who are interested in their business or product, the potential return on marketing investment is higher with a targeted campaign than with a mass marketing campaign where everyone is targeted, regardless of interest.
Loyal Customers – The key for any business in finding and developing loyal customers is to first find customers that are interested in the business and its products.
Consequently, by continuing to focus on marketing strategies towards those interested customers, they have the potential to turn them into loyal customers through continual engagement.
Insight – Targeted marketing can be utilised to target people within a certain area around the business, thereby gaining insight into where their customers live and work.
This geographic targeting ability helps develop loyal customers due to increased targeted marketing engagement. Insight can also be gained regarding a customer’s wants and needs, i.e. the ability to gain feedback from a targeted market that will be more likely to have an interest in the business or product. This feedback can then be used to improve customer experience and product development.
