What Are Marketing Demographics?

M. Walker

Marketing demographics are groups within a population that are used in target marketing strategies, and may include factors such as gender, age, income, or lifestyle. Various companies will offer goods or services aimed at reaching a specific group, and they will use business demographic analysis to see which groups make up the largest percentage of their business. By targeting certain marketing demographics with sales and advertisements, companies can boost sales, brand recognition, and customer base.

Marketers often focus on Generation Y buyers.
Marketers often focus on Generation Y buyers.

There are several factors that are important in determining target marketing demographics, but the key factors will vary depending on the goals of individual businesses. Age, race and ethnicity, average income, gender, and level of education are some of the most common considerations. Others include career fields, lifestyle choices, location, and health.

Marketers looks at demographic categories such as age and gender.
Marketers looks at demographic categories such as age and gender.

Age demographics are frequently employed when drafting various advertising strategies. Companies assume that age correlates with familiarity with technology, lifestyle, and values. Some of the major demographic categories for age include seniors, Baby Boomers, Generation X, Generation Y, and the iGeneration, sometimes known as Generation Z.

Some marketing campaigns are geared toward senior citizens and Baby Boomers.
Some marketing campaigns are geared toward senior citizens and Baby Boomers.

Marketing demographics frequently focus on gender, income level, and race and ethnicity as well. Depending on the product or service, one of these factors might become the dominating factor for marketing campaigns. For example, clothing brands frequently focus on age in devising campaigns, and income level is often the driving factor for large scale department stores and discount stores.

Marketing demographics may include peer groups.
Marketing demographics may include peer groups.

There are a few common methods for conducting research to find various marketing demographics, including surveys, information capture, and test groups for new products or advertisements. Post-purchase or post-experience surveys are common ways to learn about customers’ backgrounds as well as how satisfied they were with the product or service. Many companies will conduct surveys through email, online platforms, or mailing cards. Completion of these surveys often enters customers into a raffle for small rewards as an incentive to participate.

Many companies will capture information, such as zip codes, at the register after a sales transaction. This allows them to see where their customers live, and it can help them decide the best locations for opening new stores in the future. Test groups are another way to better understand marketing demographics, and many companies will use slightly different marketing strategies in different stores to track their sales performance.

Marketing demographics may focus on ethnicity.
Marketing demographics may focus on ethnicity.

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Discussion Comments

anon979882

The only people worth marketing hardware towards are 30-59 year olds, both male and female, regardless of race, just as long as they can afford the hardware. They're the ones who are willing to buy that stuff. Most people in their 20s and under are still young and on a tight budget, and most people in their 60s and older usually don't care for a lot of the newer hardware, as they prefer the good old stuff.

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