Cutting Edge Marketing Tools You Need To Know

Marketing in the 21st Century: Zeroing In On Your Target Markets by Herb Lawrence, Center Director Arkansas State University Small Business and Technology Development Center "Half the money I spend on advertising is wasted; the trouble is I don¶t know which half´...have you ever felt like this? This is a classic statement on advertising, credited to both John Wanamaker (1838-1922) and Lord Leverhulme (1851-1925). The saying is recorded in print from at least 1919. If you have ever felt this aren't alone! For many small businesses one reason your marketing message isn't working may be because you aren't using the right channel for your particular target markets. A recent study by New Strategist called "Millennnials..How they Buy" found that how Americans prefer to get news and information varies significantly by certain demographic factors. So if your target market are young married households (30 and under) print media may not your most effective choice. Likewise if your target market are older Americans, they are much less likely to use on-line sources available on the Internet. So knowing the demographics of your "best" customers can tell you a lot about the best channels to use for your marketing message. New Strategist polled American households to determine where they prefered to get information and the results can help you determine the right media channels you should be using to concentrate your marketing messages. So should you be concentrating on television, newspapers, radio, the Internet, or something else?

In the study potential consumers were broken out by age ranges:
y y y y

Millennial Generation ± age 18 to 31 Generation X ± age 32-43 Baby Boomers ± age 44 to 62 Older Americans ± age 63 and older.

The chart below shows that overall television is still the primary source for news & information regardless of age, with the exception of consumers 32 and younger. Baby boomers and older Americans are also much more likely to read newspapers than younger households. So if your target market is age 44 and over, traditional sources of media are still viable options. Media Channels and Household DemographicsHowever what is especially valuable is the fact that the Internet has become the dominant sources for younger American households (18-43) and nationally the Internet has edged television out among the Millennial generation. 38.3% of Millennals prefer to get news and information from the Internet compared to 36.8% who consider television as the primary source. These millennials are also much less likely to read newspapers. Of course this should not be surprising since these Millennials never knew a world without the Internet and so are much more likely go to that source.

It is also interesting that their older siblings, the Gen Xers while more 10% more likely to use television, are also heavier Internet users. Twice as many GenXers consider the Internet to be their primary source of news not newspapers.

So why is this information important to 21st Century Marketers? Small businesses have limited assets: time and money to waste on marketing that isn't being seen by your target market. Knowing:
y y

Who Your Target Markets Are, and What Channels They Prefer to get Information

helps improve your marketing efforts. New Strategist Report on Market Share for Magazine and Newspaper Subscriptions New Strategist also polled consumers about their spending habits on everything from chewing gum to reading material«and transportation to insurance. Here is what New Strategist learned about Who Buys Magazine and Newspaper Subscriptions:

From the pie chart we see:
y y y

Millennial households make up only 6.9% of the market share for magazine and newspaper subscriptions GenXers 11.7% of Market Share while Baby Boomers account for and older Americans (45 and older) make up over 81.4% of the market.

But before you can determine the right media to use to convey your marketing message you need to know who are your "Best Customers" by various demographic factors. Our

next article will key in on several different small business industries and incorporate information from New Strategist to determine who are best customers are. How Your Small Business Can Improve Your Marketing Plan In the meantime...want to know more about Cutting Edge Marketing for the 21st Century Tools? Join the ASU Small Business and Technology Development Center Thursday, January 28th for our Cutting Edge Marketing Seminaron the ASU Campus. For more information or to register visit our Training Calendar Seminars and sign up. Want to know how you can put New Strategist to work for your small business? Contact the ASU SBTDC Consultants...Laura Miller or Robert Bahn at (870) 972-3517 and see how you can improve your marketing strategy from our free and confidential consulting assistance.

Sign up to vote on this title
UsefulNot useful