There are many methods and techniques you can use to understand your customers, and customer profiling is arguably one of the most popular of them. While there are many different approaches to this, they are all fundamentally answering the same basic question, “Who are my customers?”. There are many different types of data we can use to answer this question, and one of the first places to start is typically with demographics, in this case, geo-location data. Profiling customers by geography can help you quickly and easily understand a specific market, and support either longer-term strategic planning or tactical planning for a market-specific activation, event or promotion. Let’s look into profiling customers by visually mapping their geographic density within a market.
Mapping enables the visualization and relationship analysis of your customers within a specific market, however you define it (zip code, city, state, region). It enables you to view the lay of the land, navigate efficiently and make informed decisions. Many time geographic data is locked up in static reports and little insight is gained after time-consuming analysis of customer data that leaves you with a vague understanding that 65% of customers live within 60 miles of the winery and top states are California, Florida, Texas, Chicago and New York. But what about dollars and volume within each of those markets? You may have the highest density of customers in San Francisco but the highest density of dollars in Chicago. How does customer distribution change if you only look at wine club members or customers who only buy a particular varietal, Rosé for example?
Improve Customer Relationships
Layering in sales and volume data informs key marketing strategies and engage customers in a more meaningful way. Planning market visits? You can select a location that is easily accessible for your loyal customers. Plan an event around the wines most popular in that market. Basically, use customer location data to stack the deck in your favor and be as relevant as possible to the customers in that market.
Visualize Market Growth
For Trade or DTC, once you can visualize a market through the lens of customers, trade accounts, dollars and volume strategies have a whole new set of tools available to them.You can optimize a product rollout or strategically inform a market plan. What market is primed for growth? What market looks saturated and unlikely to grow? What market is in decline? Using customer profiling, and specifically geo-location data you can set achievable sales goal based on market size and current customer density and product price.
Maps can add context to other data you already rely on, like consumer engagement metrics. Who is talking about your brand? Where? Track conversation around a promo you’re running. Where is it taking off and where do you need to focus effort to grow the conversation?
Additionally, you can use the same geo-location data to help understand risks and declines in markets or consumer engagement. Want to show areas of brand conflict, calculate market performance, Understand franchisee or sales rep territory under-performance, create market-data based sales expectations, or quantify how much potential is being lost to the competition? The list goes on.
Are you already mapping? We would love to hear about how you are using mapping within customer profiling to impact your business objectives. Drop us a note at email@example.com