When it comes to making a sale, the acme of skill is to anticipate the purchase and to beat your competitors to the punch. However, this requires a level of prescience that – until now – even the most advanced AI and data sets struggled to produce. Fortunately, marketing professionals have developed some powerful strategies over the years. One of these is targeting demographics.

Analysis based on demographics has taken us a long way. However, marketing based on demographics alone is no longer competitive. Find out how to move beyond the demographic to unlock what your customers want.

The Importance of the Customer Experience

In the end, marketing is all about customer experience. Leveraging customer data is about giving them what they want, in the way they want, and at the right time. Here’s what the experts say about customer experience.

Increasing retention rates by 5% boosts profits anywhere from 25% to 95%.” Bain & Company
A moderate increase in customer experience generates an average revenue increase of $823 million over three years for a company with $1 billion in annual revenues.” Temkin Group
Companies that make a concerted effort to improve their customer experience see employee engagement rates go up by an average of 20%.” McKinsey

Demographics vs. Behavior Tracking AOV & CLV

The ability to track user behavior gives marketing teams much greater detail that goes far beyond demographics. The difference in the intelligence resolution we achieve by tracking behavior is on the order of magnitude.

For example, rather than saying something like, “Hispanic men aged 30 to 45 have an X percent chance of buying a widget,” we can begin to break down a given demographic according to much more useful, individual information. We could take this hypothetical demographic, and discover things like average order value (AOV),  lifespan, purchase frequency, customer lifetime value (CLV), and more.

These details give us the resources we need to perform meaningful campaigns like:

AOV Marketing

Upselling and cross-selling are two tactics that will directly impact your AOV. One way to implement the upsell is to identify product relationships. For example, if product B is added 50% of the time that product A is purchased, you could create a campaign that promotes product B whenever product A is purchased or about to be purchased.

Increase purchase frequency with customer appreciation

Invest in your existing customers to let them know that you care by offering them exclusive offers. Not only will this increase purchase frequency but it will also strengthen your customer relationships.

Exact Drive provides a brief look at the difference between engagements derived from behavior targeting and more traditional online marketing:

Untargeted Emails

  • Open Rate: 20%
  • Click-Through Rate: 9.5%
  • Conversion Rate: 1.1%

Triggered by User Actions

  • Open Rate: 27%
  • Click-Through Rate: 9.3%
  • Conversion Rate: 2.3%

Targeted Via Web Click Data

  • Open Rate: 33%
  • Click-Through Rate: 14%
  • Conversion Rate: 3.9%

Leverage First-Party Data

First-party data is information that you have collected directly from your audience. It includes customer data, product data, transactional data, abandoned cart data, and the like. Moreover, with the right tools, it can show you how specific users have behaved, enabling you to obtain high-resolution portraits of real shopping behavior.

Control Campaign Triggers

Sales have always been an attrition-heavy discipline. Sales reps traditionally functioned like pitch machines attempting every sale no matter how unlikely they were to get the deal. That’s a massive waste of resources! Efforts should are more effective where the best opportunities are to invest resources to high-probability prospects. Say goodbye to “spray-and-pray” marketing.

Build Micro-Segments

Grouping your customers enables you to delineate smaller, more refined demographics – or micro-segments. These are small groups of prospects who have been defined by actual behavior. You know what they like because they have shown you. These can include other info like location, product attributes, and climate.

The Evolution of Personalization

Customers buy from brands that know them and brands that personalize customer experiences lead the way.

Addressing your customers by name won't cut it anymore (but you should still do this). Customers need to see the product that they want at the exact time they want it. So show them that you are paying attention with personalized experiences. For example, let's say you have customers that purchase lipstick from you, they probably have a cadence for how often they buy it and more than likely have a palette the prefer (like reds or neutrals). With this information, we can build experiences like:

  • Setting up a reoccurring campaign that pops up a few days before your customer needs to replenish.
  • Promote new products that match your customers' palette preferences.
  • Upsell products that complement their lipstick purchase like, lipliners, a moisturizing lip balm, or gloss.
  • Extend exclusive offers to your valuable customers to show them that you appreciate them.

Personalizing your customers' experience will enhance the bond you have with them and build loyalty.


Become a champion of your customers by digging into your demographics to uncover customer behaviors, product relationships, and key metrics.

DataQ can help you chisel away at your customer demographics to discover profitable segments and products worth promoting. With DataQ you'll have a clear picture of your customer base with breakdowns that display things like, at-risk customers, optimal marketing windows, and more.

If you're ready to implement a behavior-based marketing strategy give DataQ a try.