What Is Demographics In Marketing

What Is Demographics In Marketing?


Did you ever see an ad that was not aimed at you? If so, you have witnessed the power of demographics marketing. Demographics can be used to help brands limit their marketing efforts and avoid spending time looking for customers who may not be interested in them.

Companies use demographic marketing data to identify the consumer groups that are most likely to respond to their products or services. It can be collected from public records, private surveys or through third-party data providers. Survey software platforms like Qualtrics enable you to add demographic questions to your surveys easily. These questions can be attached to any survey and are typically used in market segmentation analysis.

What Are Demographics?

Demographics are one of the most popular marketing strategies because they allow businesses to accurately hit their target audience, especially on the social media scale. They can be used to research a wide range of customer data, such as age, gender, income level and more.

This information is useful for creating marketing campaigns, economic analysis and government policies. It is important to understand the demographics of your customers in order to maximize profits.

  • They are the social characteristics of a population. Demographics are the social characteristics of a population, including age, race and sex. They also study smaller groups of people within a population to gather more in-depth, specific information about their needs and habits.

What is the Meaning of Demographics in Marketing?


Demographic information gathered about the aforementioned target audience provides useful insights for marketing and business strategies. It allows manufacturers to tailor products for specific consumer needs like age, sex, income level and location, and the information is readily available to them either by social media means or forms or surveys.

It also helps marketers understand their audience better to create more personalized ads that will increase customer loyalty. Examples of demographic variables include age, gender, sex, occupation and education level.

Depending on the scale of the business or operations, the focus of demographics and strategies will vary. Here are some of those variations:

  • Customer Demographics. This information helps companies formulate a marketing plan to better serve customers and increase sales. Companies often purchase reports on customer demographics from marketing research firms or government agencies. Depending on the company, some demographic data is more relevant than others. For example, a women\’s clothing retailer may want to know the household size and age breakdown of female shoppers in its local area. A car dealership, on the other hand, is likely interested in income and family size statistics for buyers of luxury cars.
  • Business Demographics. The data collected from this segmentation technique is used to create marketing campaigns that are more relevant to prospective customers. Many companies purchase demographic information from third-party vendors or rely on their own research methods to collect the data. In addition to identifying the age, sex and income level of consumers, business demographics also help companies understand their consumer preferences and buying habits. Psychographic segmentation also involves grouping people together based on their psychological traits. This includes values, opinions and personality traits.
  • Social Demographics. These can be gathered from government surveys, economic data or third-party sources like browser cookies and online apps and platforms. These characteristics may include age, sex, education, migration background and ethnicity, religion, qualification, marital status and family size.

What is Demographic Segmentation?

Demographic segmentation allows you to understand customer needs and develop actionable marketing strategies. For example, a yogurt company can target 23-year-olds to increase sales and improve customer service by recognizing that their needs are different from 45-year-olds.

Businesses can use demographic variables such as age, gender, occupation, religion and life-cycle stages to formulate a marketing strategy. It’s important to combine demographic segmentation with other types of market segmentation to gain a holistic view of the customer. Here are some of those segmentation examples.

  1. Age Groups. One of the most common variables in demographic segmentation is age. Marketers divide customers into age groups such as teenagers, young adults, middle-aged adults, seniors and so on, based on their lifestyles and needs. This allows them to create products and marketing campaigns that fit their needs and preferences. Different age groups have different needs, and they respond differently to marketing promotions. For example, a pharmaceutical company may offer a flavored liquid format of an ibuprofen-based painkiller for children as small children require a smaller dose than adults and tablets are harder to swallow.
  2. Gender. Many products, such as perfumes, makeup, and clothing are gender specific and have different market strategies. Other variables used in demographic segmentation include family status and location. This is because these factors influence consumers’ buying behaviors. These types of market insights are crucial in creating effective marketing campaigns. This enables businesses to reach their targeted audiences and improve customer satisfaction rates. It also helps them increase their return on investments.
  3. Occupation. Marketers can divide customers into demographic groups based on their occupation and the life-cycle stage they are currently experiencing. This is useful for businesses that offer products that appeal to different types of jobs, such as suits for office workers or baby products targeted at married couples with young families.
  4. Religion. Marketers use religious segmentation to develop products that respect and fit the culture of a certain group of people. This type of demographic segmentation is often combined with geographic and occupation segments.

Do Demographics Matter?

To further stress on the importance of whether or not demographics matter, yes. Demographics is the characterization of certain traits in human populations such as age, gender and income level. The information is collected via official government records and consumer surveys.

Business owners use demographic analysis to identify a specific market or audience, which makes it easier to sell products and services and reduces marketing costs.

What is the Bottom Line?

The Bottom Line is an accounting term that refers to the net profit a company makes after all expenses have been deducted from revenue. The term is also used to describe a company’s overall financial health.

A company can improve its bottom line by reducing costs such as through shopping for less expensive operating facilities, using eco-conscious materials or limiting carbon emissions.


Profitability refers to the net amount of revenue a business generates in a given accounting period compared to its overall expenses. This figure, also known as net earnings or profit margin, appears in the last line of a company\’s income statement. Companies strive to increase their bottom lines by growing top-line revenues, reducing expenses, and improving efficiency in operations.

Many stakeholders including shareholders, directors and employees pay close attention to profitability figures after each reporting period. However, it is important to remember that profit numbers do not tell the whole story and do not indicate what strategies and tactics are working or failing.

For example, strong economic conditions or competitor failure may lift revenues and profits while poor expense control or long-term strategy could be costing the firm dearly. For this reason, many management teams set profitability targets that can be both challenging and rewarding to achieve. These targets are usually based on ratios such as gross profit margin and net profit margin.


A bottom line is the main point of a conversation or the main idea of a piece of writing. Similarly, in business, a company\’s bottom line shows how much profit it has earned after all expenses are paid. This number is also known as net income or net earnings.

The bottom line is found on a company\’s net income financial statement, and it is calculated by subtracting expenses from gross sales or revenues. Companies often try to improve their bottom lines by increasing sales and reducing costs.

However, focusing solely on the bottom line can lead to a loss in profits if expenses are too high. This is why it\’s important to monitor both the top and bottom lines on a monthly basis. Some companies are even beginning to use the triple bottom line concept, which encourages businesses to consider social and environmental factors besides profit growth. This can help businesses attract more customers and increase revenue.


Sustainability is a concept that encourages companies to consider other factors besides their financial position when making decisions. This includes social and environmental factors as well. Informally, this approach is often referred to as profit, people, and planet.

The bottom line in accounting is the net income figure that appears on the last line of a company\’s income statement. It is calculated by subtracting expenses from gross revenues or sales during a given period. This number shows how profitable a business has been and how much of its profits it can use for dividends or to pay off debts.

Companies that work toward sustainability typically strive to reduce their carbon footprints and other negative impacts on the environment. For example, they may switch to organic or fair-trade products, use less energy or paper, or promote employee wellness. They may also work to improve the lives of the communities in which they operate. These practices can help to curb global problems like climate change, poverty, and hunger or inequality.

How to Obtain Demographic Data?


It is possible that you will not receive demographic information from every member of your audience. It is important to gather enough data to build a profile of your most relevant customers.

With that, you can choose the right social media platforms, create a better marketing demography strategy, and grow your subscriber base faster. This information can be gathered through online surveys, software analytics, and public records.

  • Public Records: Because it is easily accessible through public resources, demographic data is the most common type of targeting data. Many international organizations and most developed countries have access to authoritative demographic resources, such as the demographic census.
  • Software for Analysis: Analytics software can help you understand the visitors to your website and their interests. Analytics software allows you to see basic demographic information like location, gender, age, and more. Log in to your analytics tool to see if the data is being collected. You can also use Google Analytics.
  • Questionnaires: You can ask your audience direct questions through the questionnaires. Once you have received enough responses, you are able to use them as a sample for your customer base. This exercise will need to be repeated often because customer demographics may change over time. A mix of demographic questions and open-ended multiple-choice questions can increase the response rate.

For a more detailed marketing strategy for your business contact us today. And beat your competitors tomorrow.

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