Hundreds of millions of people will gather around their television sets to catch a glimpse of the 2016 Olympics in Rio de Janeiro, Brazil. And billions of dollars will be spent on television advertising to catch a few moments of these consumers’ time.
Leading advertising demand-side platform The Trade Desk offers the following insights into a few of these consumer camps. Fans of Olympic swimming, for example are also more likely to be parents of young children and drive SUVs. Fans of gymnastics, on the other hand, are typically entrepreneurs with a passion for classic cars. Volleyball aficionados, finally, are generally entertainment fans who work in finance.
If the people spending billions of dollars to market-segment Olympics viewers take heed of niche advertising, it makes sense for your bank or credit unions do the same. Long gone are the days of “shotgun marketing” in which a financial institution could just blast a message on mass media (television, radio, newspaper) and hope it reaches enough people to justify the expense. In today’s competitive advertising marketplace, knowledge is power and that knowledge comes from knowing your consumers and what makes them tick. For more information on emerging niche markets, check out this video.
These target markets, appropriately, should be a primary focus of your strategic plan. Would you get in a car with a destination in mind but no route? No. In order to reach the goal of your strategic plan, you have to know the way to get there. Market segmentation provides the GPS to make this happen.
For example, your bank or credit union might decide its best target markets are young females aged 24 – 36, college students and Hispanics. This is a broad-brush example. The specific marketing niches for your credit union or bank can only be exposed after strenuous study and debate, often all coming before the strategic planning session. You must answer questions like “What makes these target audiences tick? What are they like”? What do they need? How can we best serve their needs?
If you watch any of the Olympics this summer on television, check out the ads and see if they strike you in any way. Odds are, a room of advertising and brand professionals spent a great deal of time and money trying to figure out exactly who you are and what kind of ad would turn you on at what time. You should do the same thing for the consumers at your bank or credit union.