Demographics represent statistical view of the population, shown by the ratio between the number of births and deaths. Demography is quantitative tool used for measuring the human population. Besides a whole population, it can be used for social researches in certain cultures, subcultures, countries at a given moment.
In order to examine the features of some population in a certain time period, many factors should be considered. Some of them may vary based on the purpose of the research, but most of them are considered to be the necessary information if one wants to draw conclusions about population. Those factors are: gender, age, ethnicity, education level, disabilities, martial status, employment status and many more.
Demographics in marketing
Demographic researches are highly powerful marketing tool. By doing research in the wanted market, marketers are able to see what their average customer likes, doesn’t like, how he reacts to something, will he buy a certain product etc. Since ‘average’ and ‘majority’ are what marketers want rather than worrying about individuals, demographics can give them the whole picture of their buyer and that can be useful in improving business.
Types of demographics for marketing
There are five of them and they are:
The importance of demographics in marketing
Great marketing strategy is important for companies regardless their size. The smallest company needs to implement similar marketing techniques as the larger one. For example, they both need a targeted approach to customers, and the best targeting tool is certainly demography.
Demographic research should be one of the first steps when starting a business. Even with a great idea and realization, it can easily fail if there are simply no customers. Having a marketing strategy doesn’t just mean promoting the business; it is much more. When the business owner knows the average age, income, gender, shopping habits, number of children and other characteristics of his average customer, he has a starting advantage which can be used by offering people what research showed they will buy.
There is a point that needs to be taken from this: if a market can’t be adapted to the existing product (and that is very often the case), than the product should be adapted to the market, or, more precisely, to the ideal customer. The business can become successful with right information about ‘the golden middle’ client.