Targeting the Right Audience: Analyzing Market Segments and Segmentation Strategies
We’ve all been part of a targeted marketing strategy in one way or another, thanks to market segmentation. Market segmentation is the practice of dividing a broad customer base into distinct groups based on their unique preferences, needs, and reasons for buying a product (Babin, 2021). Even when a product attracts a large audience, different groups within that audience may value it for different reasons, and segmentation allows companies to cater more precisely to each group’s demands. Take Under Armour, for example. Founded in 1996, they started with a simple mission: to help ‘tough football players’ ditch the heavy cotton shirts they’d been wearing under their gear—shirts that trapped sweat and, honestly, smelled awful. Under Armour changed the game by designing the first breathable shirts specifically for sweaty sports. From there, they got more creative, expanding into shoes, shorts, hats, and more (Under Armour’s Willful Digital Moves - MKT Consumer Behavior 2024, 2016.
While Under Armour initially focused on male consumers, the brand still brought in $2.3 billion in sales—$500 million of which came from women. This showed huge potential for growth in the women’s market (Under Armour’s Willful Digital Moves - MKT Consumer Behavior 2024, 2016). So, in 2014, Under Armour launched the ‘I Will What I Want’ campaign, featuring inspiring women like ballerina Misty Copeland and supermodel Gisele Bündchen. The campaign was designed to resonate with women who dreamed of athletic success or those who wanted to pursue their goals with the same dedication as professional athletes (Under Armour’s Willful Digital Moves - MKT Consumer Behavior 2024,2016.
Under Armour pushed further by focusing on women who embodied strength and resilience. When they signed Gisele Bündchen, a supermodel known more for fashion than fitness, some questioned the choice. But Gisele had faced criticism since she was 16—and she wasn’t just a model; she was an athlete at heart. She said that being part of the campaign reminded her, and others, that 'women can do anything despite the pressure and criticism.' Tuning out the noise and staying focused builds confidence and drive to achieve your goals (Under Armour’s Willful Digital Moves - MKT Consumer Behavior 2024, 2016.; Release, n.d.).
Personalize Your Messaging
When you’re implementing segmentation strategies, I think it’s key to focus on a few big areas: demographics, behaviors, psychographics, and geographic.
- Demographics because, knowing basics like age, gender, and income helps make sure the product actually fits with who you're targeting.
- Behavior because, looking at how people buy, how often they shop, and how loyal they are can give you a clearer idea of how they may use (or could use) the product, so you can reach them better.
- Psychographics because, you want to dig into the customers' interests, values, and lifestyles. Because it can help you understand why they’d be drawn to the product in the first place, which makes it easier to connect with them and even retain loyalty.
- Geographic because, thinking about where customers are helps tailor strategies to their specific areas—whether it’s climate, culture, or regional trends. This way, your message feels more relevant and can always maintain culture awareness in the process.
Keeping these in mind, personally makes segmentation much more effective and helps you speak to each group in a way that actually clicks with them in a unique way.
Meeting Sensory Needs: A Targeted Strategy for an Untapped Market
One market segment I’ve noticed recently is sensory marketing, where companies develop products—like toys, gadgets, scents, and sounds (Chechi, 2024). This is usually designed around specifically being able to help people with sensory sensitivities or disabilities. While these products have huge potential, I’ve seen some companies, like 'Loop,' miss the mark. Their earplugs are great for reducing noise and blending in, but their marketing doesn’t clearly communicate how helpful they could be for people with noise sensitivity or sensory processing issues.
To reach this market more effectively, I’d focus on a segmentation strategy that highlights the specific sensory benefits. For example, targeting by behavior would involve reaching people who seek tools to manage sensory overload or who buy similar products. Psychographic segmentation could focus on interests in wellness and self-care, while the demographic segmentation would include groups with higher rates of sensory sensitivity, like people on the autism spectrum or those with anxiety disorders. Additionally, offering a price discount for customers who provide documentation of their disability, like sensory sensitivity to noise, autism, and anxiety, etc, could potentially make these products more accessible to the people who would benefit most. By combining this accessibility feature with clear messaging on sensory benefits, testimonials, and targeted ads, companies like loop could better connect with this segment and help meet their unique needs.
References
Babin, B. J., & Harris, E. (2021). CB (9th ed.). Cengage Learning US. https://bookshelf.vitalsource.com/books/9798214339405
Under Armour’s Willful Digital Moves - MKT-345 Consumer Behavior 2024. (2016). https://learn.snhu.edu/d2l/le/content/1754456/viewContent/36407745/View
Release. (n.d.). UA Newsroom. https://about.underarmour.com/en-us/stories/press-releases/release.11816.html Explore UA | Fitness Guides & Product Tips | Under Armour SG. (n.d.). https://www.underarmour.com.sg/en-sg/t/explore-ua/
Chechi, H. (2024, April 2). Unlock Sensory Marketing: What it is and Why it Works. Glion. https://www.glion.edu/magazine/what-is-sensory-marketing/
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