Demographic analysis and mapping APIs enable organizations to analyze their potential customers according to their age, sex, race, and income to determine how these factors affect sales and productivity. Analyzing the demographic information of an area’s population helps managers know about their market’s potential growth. This information is significantly beneficial to the marketing team, who may have no clue about the target audience and try to find out how small changes in the market may influence their target population.
Variables of Demographic Analysis
Potential customers of an organization can be categorized based on several demographic variables. Marketers can use these variables to identify the customers and direct their marketing analysis. For example, if an organization’s customers are industrial companies, the demographic variables can include sales, employees, type of enterprise, etc. On the other hand, if the customers are mainly individuals, variables such as age, gender, and income are mainly considered. For now, let us review the most critical demographic variables for individuals.
The age of different customers directly affects their taste regarding the type of their purchases. For example, the products a youngster usually buys, like smart devices, differ from those of an older adult. What’s more, people of different ages have significantly different purchasing power. For example, people in the early ages of their youth are newly employed and more prone to spending regularly. On the other hand, adults in their sixties are considering their retirement years and tend to save money.
A person’s lifestyle can hugely affect their purchasing habits and the products they need. Also, the products a person purchases are directly relevant to their purchasing power. For example, people with pets in their homes are a significant part of the pet market. In addition, newly married couples are a good target for different marketers as couples need versatile products to commence their new life journey.
Some other demographic variables include occupation, gender, income status, educational qualification, and purchasing habits. Managers must refer to the most relevant variables and gather the most detailed data to identify potential customers. Although demographic analysis and mapping API can make identifying consumers easy for marketers, managers should be cautious not to generalize the audience. This may give them an incorrect impression of an industry or organization.
Data isn’t helpful unless a business can organize it into meaningful, relatable information. Geographic Enterprises and their business mapping API software can do that. Turn those numbers into graphics that make sense. Contact us today at 888-848-4436 to set up a free demonstration.