How e-Commerce Are Leveraging Psychographic Segmentation to Create Lasting Customer Relationships?

Psychographic Segmentation

It’s no secret that successful e-commerce businesses need to understand their customers inside and out if they want to create lasting relationships. 

But gone are the days of simply breaking your target demographic down into basic demographics such as age, gender or ethnicity – many innovative modern businesses are now taking it one step further by tapping into psychographic segmentation to truly understand their customer base. It may sound complicated, but you’d be surprised at how leveraging this data can significantly impact the way your e-commerce website runs and the relationships you make with customers. 

In this post, we’ll look at psychographic segmentation, its significance for e-commerce businesses, and how to get started, so let’s dive in!

Psychographic Segmentation and its significance for e-commerce

Psychographic segmentation is a marketing strategy that involves dividing a market into smaller groups based on psychological characteristics, such as values, attitudes, interests, and lifestyles. Psychographic segmentation aims to better understand and target the needs and wants of specific consumer groups.

Psychographic segmentation can be useful for businesses because it enables them to tailor their marketing efforts to specific groups of consumers based on their psychological characteristics. For example, if a company is selling outdoor equipment, they might use psychographic segmentation to target environmentally conscious, adventure-seeking consumers who have an active lifestyle. By understanding the values and interests of these consumers, the company can create marketing campaigns that resonate with them and ultimately drive sales.

Overall, psychographic segmentation can be a valuable tool for businesses as it helps them to better understand and connect with their target audience. It can also help businesses to differentiate themselves from competitors and create more personalised marketing campaigns.

How is it different from traditional demographic segmentation?

Demographic segmentation divides a population into groups based on factors such as age, gender, income, education, and race. This approach has been used for many years to understand how different groups of people behave and what they want from products and services. However, it has some limitations. First, it can be difficult to identify all the relevant factors that influence behaviour. Second, it can be difficult to find data that is representative of the entire population. Third, predicting how different groups will respond to marketing messages can be difficult.

The alternative approach is Psychographic segmentation. This approach divides a population into groups based on their behaviours or attitudes. This approach is based on the assumption that people’s behaviours are influenced by their needs and wants, which are, in turn, influenced by their demographics and psychographics. Behavioural segmentation is more flexible than demographic segmentation because it takes into account changes in demographics and psychographics. It is also more accurate because it is based on actual behaviour rather than assumptions about behaviour.

Psychographic Segmentation Examples

Here are some examples of how psychographic segmentation can help different industries:

Automotive Industry

In the automotive industry, psychographic segmentation can help a car manufacturer target consumers who are interested in fuel efficiency, safety features, and eco-friendliness. The company can create marketing campaigns that emphasise these features and target their desired consumer group, which can help to drive sales.

Travel Industry

Suppose a travel company wants to target consumers who are interested in adventure and experiencing different cultures. They can use psychographic segmentation to identify this type of consumer and create marketing campaigns that emphasise the unique experiences they can offer.

Food Industry

Psychographic Segmentation can be especially useful for food companies as it allows them to target specific groups based on their dietary preferences. For example, a company selling vegan food can target consumers who are interested in health and sustainability. They can create marketing campaigns emphasising vegan food’s health benefits and how it is better for the environment.

Clothing Industry

The clothing industry can use psychographic segmentation to target trend-conscious and fashion-forward consumers. By understanding the values and interests of these consumers, a clothing company can create marketing campaigns that emphasise its latest collections and styles.

How can e-commerce use this data to improve their relationships with customers?

E-commerce can use psychographic segmentation data to create more personalised marketing campaigns that resonate with their target audience. By understanding consumers’ needs, wants, and interests, businesses can create messaging and campaigns tailored to them.

Additionally, your e-commerce website can use this data to understand the products and services most appeal to their customers. This can help you with creating new offerings and improve existing products to better meet their customers’ needs.

Furthermore, psychographic segmentation can also be used to identify potential customer segments that an e-commerce business may have previously overlooked. By understanding the motivations of these new customers, businesses can create campaigns and strategies that will reach them more effectively.

Lastly, businesses can use this data to improve their customer service, as they can better understand the needs of their customers & how to best meet them. This can help businesses create a more positive relationship with their customers, leading to increased loyalty and satisfaction.   

Get started with psychographic segmentation

There are a few ways e-commerce businesses can get started with psychographic segmentation. One way is to use publicly available data to identify trends in consumer behaviour. This can be done by analysing data from social media, surveys, or other data sources. Another way to identify trends is by conducting focus groups or interviews with customers to better understand their motivations and interests. Once psychographic trends have been identified, businesses can begin to target specific consumer segments with marketing messages that appeal to their interests.

Try Wigzo

At Wigzo, we make it easier for e-commerce businesses to use psychographic segmentation in their marketing campaigns. Our platform allows businesses to quickly analyse customer behaviour and identify trends in the market. Wigzo also enables you to create personalised campaigns that target specific consumer segments based on their interests, values, and motivations. Additionally, our platform allows e-commerce businesses to better understand their customers and provides insights into how to improve their customer relationships. With Wigzo, businesses can easily segment and target their audiences with more accurate and engaging campaigns. Start using Wigzo today to get the most out of your marketing efforts!



Anshika Singh

Anshika Singh

An economist by degree and content writer by choice, she is currently working as a content marketing writer at Wigzo Technologies. In her spare time, she loves to binge-watch and spend time with her dogs. Linkedin

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