Steps To Identify And Target The Right Customer Segments For Your Product PowerPoint Presentation Slides
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The document outlines steps for identifying and targeting customer segments for a product through market research, customer behavior analysis, and effective marketing strategies. It emphasizes understanding demographic, geographic, and psychographic characteristics of both B2C and B2B customers, along with the creation of targeted customer personas. The guide includes consumer market research survey design, metrics for customer success, and insights into modern customer communication preferences and shopping behaviors.
Steps To Identify And Target The Right Customer Segments For Your Product PowerPoint Presentation Slides
- 1. Steps to identify & target the Right Customer Segments for Your Product Y o u r C o m p a n y N a m e 1
- 2. 2 TableofContent Identify Your Target Customer01 Channelize Customer Strategy02 Customer Strategy Options03 Understand Your Customers (B2C Market)04 Understand Your Customers (B2B Market)05 Targeting Options06 4 Steps to Create a Powerful Customer Strategy Step 1: Market & Customer Research • Market Size Analysis • Competitive Landscape • Customer Segments & Their Behavior • Customers Shopping Preferences – Sample Data • Customers Shopping Habits– Sample Data • Customers Shopping Behavior (Baby Boomers) – Sample Data • Customers Shopping Behavior (Millennials)– Sample Data • Customers Communication Preferences – Sample Data • Modern Customer Journey • How Millennials Learn About the Product • Brand Loyalty 07 Step 2: Roll Out the Consumer Market Research Survey • Consumer Market Research Survey Step 3: Zero In On the Target Market • Identifying Your Market - TAM, SAM & SOM • Customers Segments – Matrix 1 • Customers Segments– Matrix 2 • Target Customer Description • Target Customer Persona Step 4: Execute Strategy & Measure Metrics Customer Success Metrics that Matter • Customer Success Benchmarks • Churn • Expansion • Net Promoter Score • Customer Health 08
- 4. 4 “Get closer than ever to your customers. So close that you tell them what they need well before they realize it themselves.” Steve Jobs
- 5. 5 A Day in her Life • She is a morning person • She starts off her day with gymming. She goes to gym thrice a week. • She works for an IT company • She loves exploring new cafes in town • She watches Netflix • She is a neat freak and likes to keep her things organized. • She likes being punctual Online Behaviors • Very much active on social media apps such as Instagram, Facebook, Twitter, etc. • She keeps on exploring new apps for her use • Tend to find good deals and discounts on food and clothes Hopes & Dreams • Become a reputable fashion and entertainment blogger • Travel the work • Adopt a dog • Own a café • To be able to learn a new language • Not have to worry about finances Background • 29 Years Old • Engaged • Lives in NJ, USA • Full-time Employer in an IT company What She's Looking For • A place to detox herself after a hectic working week • Deals & Coupons • Good food and a glass of wine • Cozy seating space with nice music Worries & Fears • Not spending enough time with family and friends • Fear of closed spaces • Text Here • Text Here • Text Here • Text Here Finances • Income of $50,000 • She believes in investment • She prefers using credit card/debit card for shopping or otherwise What Influences Her • Her mother • New fashion trends, magazines, blogs, etc. Make Her Life Easier • Order online or through app • Online payment through payment apps like Google Pay • Deals and incentives • Space with plenty of charging stations • Free Wi-Fi “I need to go to a relaxing place with nice coffee, music and ambience without it being too expensive” HANNAH, STUDENT
- 6. Channelize Customer Strategy Does It Drive CUSTOMER STRATEGY Does your value proposition target the customer and his needs? Does it reflect in your business mission and vision? 6 Product Strategy Sales & Marketing Strategy Distribution Strategy Geographic Strategy
- 7. Customer Strategy Options Strengthen Your Existing Customer Base Increase Your Customer Base Poor market share with existing customer base Dropping Sales Weak value proposition Lack of resources to expand to new geos New target customers in new geos New product features for more customer segments Market superiority with existing customer base Sufficient resources to make expansion work 7
- 8. Understand Your Customers (B2C Market) 8 Demographic – Population Geographic – Where People Live Lifestyle – People’s Attitudes & Values Behavioural – Loyalty to A Product Value • Age • Urban • Consumer Opinions And Interests • Purchase Occasion • Spend • Gender • Suburban • Socioeconomic Group • Benefits Sought • Share of market • Education • Rural • Motives • Loyalty • Family Size • Regional • Personality • Use Rate • Family Life Cycle • City Size • Aspirations • Price Sensitivity • Occupation • Climate • Social Class • Landforms • Religion • Ethnicity Target Customer Characteristics
- 9. Understand Your Customers (B2B Market) 9 Geographic Country. Region, Town, Postcode, Mile Radius Firmographic Turnover, Size, Employees, Business activity, industry Behavioral Usage rate, end product use, benefits sought, purchase procedure, buying status Psychographic Socially responsible, entrepreneurial, employee focused, financially prudent
- 10. Undifferentiated/ Mass Market Differentiated Market Niche Market Micro Market Targeting Options 10 • Small business users • Target customers at a personal level • Smaller firms with less resources • Target specific segment of customers e.g. toothpaste for sensitive teeth • Aka Concentrated marketing • Medium to big firms • Multiple products for different segments • Each product customized for each segment • Higher production cost • Specialization & strong hold in market • Large firms • One product or product line for all customers • E.g. Toothpaste, Personal Computers, Cold Drinks
- 11. 4 Steps to Create a Powerful Customer Strategy 11 Step 2 Zero In On the Target Market Step 3 Step 1 Market & Customer Research Execute Strategy & Measure Metrics Step 4 Roll Out the Consumer Market Research Survey
- 12. Market & Customer Research Step 01 12
- 13. Market Size Analysis 13 USD Million 549 2017 2018 2019 2020 2021 2022 2023 Market Size (GPU Database Market) Y-o-Y 20% This graph/chart is linked to excel, and changes automatically based on data. Just left click on it and select “Edit Data”.
- 14. Competitive Landscape 14 MarketGrowth% Market Share % Average Market Growth Logo Logo Logo Logo Logo Your Company Logo 80% Logo Logo Logo
- 15. Customer Segments & Their Behavior 15 Customer Segment Market Size Purchasing Power Recurring Purchases % Online Buyer Conversion Rate Active/ Fit Baby Boomers Entrepreneurs Mothers Movers Students Yuppies
- 16. Customers Shopping Preferences – Sample Data 16 Where do customers prefer buying? 65% 19% 8% 9% To see & touch the product before I buy it To get the product quickly I like the personal experience of having a store assistant help me To take advantage of in-store promotions & sales Why do customers prefer buying in-store? *Of the 40% of shoppers who prefer in-store 25% Online 38% Offline 37% Don’t Care
- 17. Customers Shopping Habits– Sample Data 17 94%58% 22%94% 64%70%92% 50% Daily Usage of Smartphone Took Pictures Looked for Direction Obtained News Searched for coupon Email Calendar Researched Product Tracked Calories 50% Spend more than 2 hours per day 52% Own Tablet 75% Own Laptop 90% check email on daily basis while 50% research products online before making a purchase Key Takeaways
- 18. Customers Shopping Behavior (Baby Boomers)– Sample Data 18 Online reviews & word-of-mouth advertising are an important factor in purchasing decisions Key Takeaways 70% Buy consumer goods at retail chain 94% Make Grocery List 82% Ask others before Purchasing 15% Read Reviews Recommended by friend Saw the product online Saw a printed advertisement Saw the products in a brick - & - mortar store Top 5 Influences 69% Made a purchase after reading an online review in the last 12 months Buy Online
- 19. Customers Shopping Behavior (Millennials)– Sample Data 19 Millennials are the most tech savvy generation of all & a whopping 69% of them research about products before shopping Key Takeaways 45% Prefer Webrooming (browsing online & buying in-store) 30% Prefer Showrooming (browsing in-store & buying online) Make Purchases On their smartphones 72% Want a Shopping Experience Seamless & integrated on all channels 69% Research Options Before shopping at stores 70% Use Ratings & Reviews As the #1 reason to purchase from a retailer’s website 51%
- 20. Customers Communication Preferences – Sample Data 20 25% 30% 32% 34% 37% 39% 36% 33% 19% 21% 17% 11% 25% 30% 42% 35% 30% 40% 14% 7% 7% 10% 16% 10% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Offer to help (via chat or phone) before you've asked for it yourself Ask whether you want to have alerts or information sent to your phone Send you news or information they think you will find useful Tailor their mailings or emails to you based on what they know about your past purchases Adjust offers to you based on where you live Keep you up to date on their new products Consumer Preferences Regarding Brand Communications “From each statement below, please indicate whether you like or dislike it when companies you have bought something from…” Like it Dislike it It depends on the company Don't know
- 21. Modern Customer Journey 21 Interest & Awareness • Social / Search Advertising Email/ Text Marketing Loyalty Programs YouTube/ Video Ads • Television • Billboard • Online display advertising • Newspaper/ magazine • Radio • Word of mouth Reach Research • Blogs & Articles Review Social Media • Word of mouth Purchase • Website Online Booking Purchase Via App • In-store Purchase • Salesperson Marketing Materials • Remarketing • Multi-Channel Selling Experience • Post-purchase expectations vs. reality • Social post • Write a review • Blog • Word of mouth • Loyalty Program • Re-engage email Attract Convert Retain
- 22. How millennials learn about the product? 22 Amazon is the most preferred e-commerce platform for millennials. More than 3/4th of them check for online reviews before making a purchase Key Takeaways Do They Find Products? Do They Research Products? 25% Amazon 15% Search Engines 10% Websites 12% In Store 10% Friends & Family 80% Online Reviews 55% Retailer Reviews 53% Brand Website 50% In Store 52% Word of mouth
- 23. Brand Loyalty 23 Good Prices 55% To achieve Millennials brand loyalty, low price plays a pivotal role Key Takeaways Reasons For Millennial Loyalty Brand Affinity 30% Online customer reviews 15% Reliable Delivery 26% Easy-to-use website & mobile site 25%
- 24. Step 02 24 Roll Out the Consumer Market Research Survey
- 25. Consumer Market Research Survey 25 • 0 • 1 • 2 - 3 • 4 – 5 • More than 5 Who is the primary grocery shopper in your household? (Please check one box) • A Yourself • B Spouse/Significant Other • C Parent • D Other (please specify) How many times did you go grocery shopping within the last two weeks? (Please check one box) At what type of store do you usually do your grocery shopping? (Please check one) • Natural/Organic food store (can be local/independently-owned or chain stores such as Whole Foods) • Chain supermarket (Kroger, Albertson's, etc • Mass merchandiser (Super Wal-Mart, Super Target, etc.) • Local/independently-owned grocer (not a natural/organic food store • Other (please specify) Q.1 Q.2 Q.3
- 26. Consumer Market Research Survey - Contd. 26 Q.4 Q.5 Besides yourself, which of the following groups of people influence your purchasing decisions? (Check all that apply) • Spouse or significant other • Children • Other family members • Friends • Colleagues • None • Other (please specify) As a grocery shopper, please rate how important the following issues are on a scale of 1 to 7. If you do not know or have no opinion, please select "No opinion". • Very Unimportant • Neutral • Very Important • Don't Know/No Opinion 1 Price 2 Product Availability 3 Package Size 4 Environmental Friendliness of Product/Company 5 Brand 6 Social Responsibility of Manufacturer 7 Where the Product is Made 8 Quality of Product
- 27. Consumer Market Research Survey - Contd. 27 Q.6 Q.7 Q.8 How many people currently reside in your household? (Select one) • A 1 • B 2 • C 3 • D 4 • E 5 • F 6 • G More than 6 What is your annual household income before taxes? (Select one) • A Less than $10,000A • B $10,001 - 20,00 • C $20,001 - 30,000 • D $30,001 - 50,000 • E $50,001 - 70,000 • F $70,001 - 90,000 • G $90,001 - 120,000 • H $120,001 - $180,000 • I Above $180,000 Please indicate your marital status. (Select one) • A Single • B Married • C Divorce • D Widowed • E Other (please specify) • F Prefer Not to SayF
- 28. Consumer Market Research Survey - Contd. 28 Q.9 Q.10 Q.11 Please indicate your highest level of education: (check highest level completed) • A Some high school • B Completed high school • C Some college • D Completed college • E Some graduate school • F Completed graduate school • G Other: Please specify What is your zip code? (Add here) (Optional) Please enter your email address. This information will only be used to enter you into a drawing for a free gift certificate and to contact you if you are selected the winner. Please indicate your political affiliation. (Select one) • A Democrat • B Republican • C Independent • D Other: (Please specify) Q.12
- 29. Step 03 29 Zero In On the Target Market
- 30. Identifying Your Market – TAM, SAM & SOM 30 Say you’re introducing a new type of luxury tea brand. Your TAM is everyone who drinks tea everywhere in the world. In other words, the total tea market. Total Tea Market : TAM You’re planning to distribute in a limited region, say the U.S., & selling to people who like higher-end tea brands & are willing to pay a little more. That’s your SAM. High-end tea drinkers located in the U.S. : SAM There is already competition in the luxury tea segment. The market share you reasonably expect to acquire is your SOM. Your share of those high-end tea drinkers : SOM TAM SAM SOM Defining your TAM, SAM & SOM Total Addressable Market The TAM is the value of the entire market or the total possible demand for your product or service. Serviceable Addressable Market The SAM is the portion of the TAM that you can actually reach with your product or service. Typically limited by geography & demographics. Share of Market Also called the Serviceable obtainable Market, the SOM is the portion of the SAM that you will acquire with your product or service. This is your short-term target. Markets, Defined The SAM & SOM are portion of the TAM Here’s an example
- 31. Customers Segments – Matrix 1 31 Put here the customer segments that represent a small share of a saturated market Forget about them! They take a lot of energy from you at a loss. Unless you derive other non – financial benefits from them : CSR (Corporate Social Responsibility), fun? Put here the customer segments that are real “golden egg chicken” : a large market share that has reached maturity. Continue to benefit from it without investing more They don’t cost much & are very profitable Put here the customer segments that have a high growth potential but a small market share (niche segments). With some investment & good arguments, it is possible to make them “stars”. Would you like to start investing? Put here the customer segments that have a high growth potential & a high market share Having them growing will cost you some energy (time/ money), but it is hoped that these “desired children” will one day become “cash cows” Keep Investing! Cash Cows Stars Dogs Question Marks MarketGrowth Market Shares
- 32. Customers Segments – Matrix 2 32 VIPs High-value individuals. Build & maintain a strong relationships with this group Core Customers Major contributors to your business. Keep them satisfied & find more of them Potential Customers Customers in this group can potentially spend more. Implement strategies to enhance CLV for this group Non-core Customers Do not spend too much resources unless this is a pilot group for a new product that has growth potential CustomerLifetimeValue No. of Customers In Segment
- 33. Target Customer Description 33 Target Description Target Description • Urban and suburban women 18- 34 (70%) and 35-55 (30%) who wish to look beautiful and take care of their skin to look young and fresh Their needs • Healthy young skin, to look beautiful, mask skin flaws Their enemy • Pollution, oily skin, acne, and skin fatigue Insights that tell their story • “I have tried many skin products but nothing seemed to work and give the radiant look I wanted. The long working hours and increasing pollution levels are taking a toll on my skin.” • “I have a very sensitive skin. Exposure to sun’s harmful ultra-violet radiation has worsened my skin. I wish there was a product that worked perfectly for sensitive skins and also make my skin look fresh.” What do they think now? • I saw the advertisement for brand XYZ skin care. I hope it achieves the results it promises. I am thinking of trying it after reading some reviews. How are they buying? • They are reading reviews online and on all shopping websites that deliver the product. They also rely on their friends to give feedback of the product. Instagram influencers also have a big role in influencing their decision to buy. We want them to think/feel/do • See : The product on shelf across major retail stores and all shopping websites. • Think : A chemical-free, packed with natural ingredients and makes the skin glow • Do : Try the product and see the difference to their skin • Feel : Confident about their skin • Whisper : Share their stories on social media and tell friends the benefits of the product
- 34. 34 Target Customer Segmentation • People with Internet access • Age group of 25 to 50 years,“ as 45% of online buyers belong to the 35-49 age group • Focusing on a younger audience • Convenience as a major reason for online purchases • Interest in new categories • New lucrative deals every day, every hour • Low pricing as a major factor for purchasing online • Customers segmented by loyalty • Customers who like innovations and changes to the website • Those who value customer care first • People who click on recommended and suggested products the most • International appeal • Digital sales over 'real-world’ sales • Focuses on developed areas • For rural areas - smartphone use crucial DEMOGRAPHIC SEGMENTATION SITUATIONAL SEGMENTATION PSYCHOGRAPHIC SEGMENTATION GEOGRAPHIC SEGMENTATION
- 35. Target Customer Persona 35 “We need a consultancy agency to help us give an unbiased assessment of our weaknesses, use heat maps to see the most engaging website pages and reinvent the website for more conversions.” Goals Wants to capture more leads using multiple channels Wants to create innovative marketing campaigns Become marketing head in the next 2 years Demographic information • Chicago, US • 32 years old • Marketing executive at a design agency • MBA in Marketing Psychographic information • Running • Volunteering for social causes • Read fiction novels • Play games on iPad • Likes to purchase latest technology Marketing Messaging • Keywords- increase conversion, marketing agency US • CTA- Heat maps, increase conversion, UI/UX enhancement The Marketing Executive Customize this editable target customer persona template which has sections such as demographics, psychographics, goals, and marketing messaging QUOTE
- 36. Step 04 36 Execute Strategy & Measure Metrics
- 37. Customer Success Metrics that Matter 37 Customer Lifetime Value (CLV) Guide on how much you can profitably spend on customer acquisition Customer Churn Retention of customers is key to Customer Success Net Promoter Score (NPS) Monitor the NPS trend to see if you are "moving the needle" Customer Health Score Best predictor of churn risk, up-sell and conversion potential Product Activity Score A focused, easily understandable, predictive result Customer Acquisition Cost (CAC) Maintain Customer acquisition at a sustainable cost Calculation dependent upon levels of all activities Calculation dependent upon many different signals 01 02 03 04 05 06 CLV = Margin % * Average MRR Monthly Churn % Churn = Revenue Lost Total Revenue NPS = # Promoters - # Detractors # Total Respondents Sales & Marketing Expenses # New Customers CAC =
- 38. 38 Customer Churn <4% MRR Churn <2% Net MRR Churn Negative (-) Expansion MRR Enough to make the above metric negative NPS 50 is good (but Apple’s is nearly 90) CSAT 80% is a common goal Customer Success Benchmarks What you should be aiming for
- 39. Churn 39 0 10 20 30 40 50 60 Item 1 Item 2 Item 3 Item 4 Room 5 Churned MRR% = Revenue lost from customer that were lost & downselling/ revenue at the end of the previous month Customer Churn% = Number of customers lost during the month/ the number of customers at the end of the previous month 0 10 20 30 40 50 60 Item 1 Item 2 Room 3 Item 4 Item 5 Net MRR Churn%= Revenue lost from customer that were lost & downselling – expansion revenue in a given month/ revenue at the end of the previous month
- 40. 40 Expansion Net Negative Churn% = Lost Revenue% - Expansion Revenue% Example : Lost Revenue of 1% - Expansion Revenue of 3% = Net Negative Churn of 2% Expansion MRR% = New Revenue from cross sells & upsells during the month/ revenue at the end of the previous month
- 41. 41 Net Promotor Score Net Promotor Score = % of Promotors - % of Detractors
- 42. 42 Categorize the inputs for your score Create a Risk Rating & Score Card Customer Health Weigh each input by measure of importance
- 43. Steps to Identify & Target the Right Customer Segments for Your Product Icons Slide 43
- 46. Company Introduction This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here 46
- 47. 47 Our Mission Vision Values This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Vision This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Mission This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Value
- 48. 48 Our Goal This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Goal 1 This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Goal 2
- 49. Organization Chart 49 Human Resource Name Here Slide Designer Artist Name Here Content Name Here Customer Representative Name Here Graphic Designer Name Here Business Slide Designer Name Here Account Manager Name Here Creative Director Name Here Business Slide Designer Name Here
- 50. Comparison 50 40% 60% Male User This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Female User This slide is 100% editable. Adapt it to your needs and capture your audience's attention.
- 51. Bar Chart Template 51 0 10 20 30 40 50 60 70 80 90 100 FY '18 FY '19 FY '20 SalesinMillion Product01 Product02 Years This graph/chart is linked to excel, and changes automatically based on data. Just left click on it and select “Edit Data”. Product 01 This graph/chart is linked to excel, and changes automatically based on data. Just left click on it and select “Edit Data”. Product 02
- 52. Pie Chart Template 52 60% 85% This graph/chart is linked to excel, and changes automatically based on data. Just left click on it and select “Edit Data”. Text Here This graph/chart is linked to excel, and changes automatically based on data. Just left click on it and select “Edit Data”. Text Here
- 53. Marketing Dashboard Template 53 50 100 0 02 50 100 0 01 HIGH This graph/chart is linked to excel, and changes automatically based on data. Just left click on it and select “Edit Data”. LOW This graph/chart is linked to excel, and changes automatically based on data. Just left click on it and select “Edit Data”.
- 54. Linear Diagram 54 This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here
- 55. Circular Diagram 55 01 02 03 04 05 06 This slide is 100% editable. Adapt it to your needs and capture your audience's attention Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention Text Here
- 56. 56 Jan Feb Mar Apr May Marketing Roadmap Template This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here
- 57. Timeline Template 57 This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here This slide is 100% editable. Adapt it to your needs and capture your audience's attention. Text Here 2015 20182016 20192017 2020
- 58. 58 Thank You Address # street number, city, state Contact Number 0123456789 Email Address emailaddress123@gmail.com