What is Micromarketing? Definition of Micromarketing, Micromarketing Meaning and Concept
Micromarketing is the personalization of sales actions through deep knowledge of the interests and habits of the individual consumer.
This is how micromarketing is defined, a practice that tends to be generalized to reach a more specific type of audience. Under this strategy, the target audience is considered as a sum of micro-segments, of unique but large market niches. With more precise promotions and actions. Other criteria could be specific interests, age, gender, activities in common or geolocation.
Segmented marketing achieves the best results for companies if costs are under control. With micromarketing, advertising efforts are focused on a small, very specific group of consumers who share similar needs.
Why does micromarketing arise?
This marketing approach arises from the need to differentiate types of consumers, since in the past traditional marketing basically consisted of a group or mass consumer approach.
To carry out micromarketing, it is necessary to gather information on the discriminating characteristics of consumers of a certain product. The emergence of modern computer systems has made it possible to mount or execute this type of marketing.
Today's consumer is different from the consumer of the past. People no longer buy solely out of necessity; but also for simple desires, tastes and even whims. So consumers have been differentiated by their tastes and preferences.
Why apply micromarketing?
Among the main arguments for applying micromarketing are:
- By being able to offer segmented and personalized advertising, investment costs are lower.
- It allows channeling all sales efforts to a very specific niche, thus reducing dispersion.
- It gives a more personalized treatment to the customer, so he will be more grateful and prone to purchase.
- Direct sales allow direct contact with the customer, who does not speak to a network of intermediaries or third parties.
- The company receives a lot of data through the bar readers of the stores, the loyalty cards, the surveys..., which allow it to offer products to the consumer's liking.
Actions contemplated by micromarketing
Among the actions carried out by micromarketing we could highlight:
- With Facebook Ads you can create ads that are specifically aimed at a very specific audience. Since filters can be established with parameters such as gender, age, place of residence, interests...
- The cookies that are installed on your computer when the user visits a web page become faithful allies for your micromarketing strategy. Since they are files created by advertisers that contain small amounts of data that allow knowing their tastes.
- With retargeting, ads from the same (related) advertising network appear over and over again on the websites that the user has visited, even if the purchase has not materialized.
Micromarketing is an important tool for companies. In competitive markets, specializing is the key that makes the difference.
Mass marketing has disadvantages. Meanwhile, micromarketing gives the option of approaching individualized consumers, getting to know them, and investigating their environment. Sometimes small ideas can have a big impact if implemented properly.
Imagine a company that produces bicycles. This could segment the market by applying certain filters. Allowing you to narrow down a pool of potential consumers into small segments.
In his first approach, for example, he separates mountain bikers and road cyclists. This segmentation in turn divides it into three categories. Which will be: beginner, amateur and professional. You can also segment by gender: women and men.
In this way, the company better controls the demand for each of the categories. If you want to promote to female amateur road cyclists, you could target only consumers in this category and not all cyclists in general.