How Brands Can Benefit From Psychographic Segmentation

What is Segmentation?

  • Demographic segmentation includes such factors and statistics as age, gender, and income.
  • Geographic segmentation divides people based on their location or other geographic borders.
  • Behavioral segmentation focuses on things such as purchasing or spending habits.

What is Psychographic Segmentation?

Examples of Psychographic Segmentation

  • Values: A person who values the environment above their perceived social status
  • Attitudes: A person who thinks that smoking is disgusting
  • Interests: A person who enjoys playing and watching tennis
  • Motivations: A person who likes their buying decisions to reflect a certain social status
  • Beliefs: A person who believes that smoking is unhealthy
  • Desires: A person who longs to retire early

How Does Psychographic Segmentation Fit With Other Methods Of Segmentation?

Benefits of Psychographic Segmentation

  • Understanding the “why” behind consumer behavior. Not just what consumers do, but why they do it, through analyzing their personalities, beliefs, and motivations
  • Improved potential for customization. Psychographic segmentation provides insights that allow for better and more relevant customization, not only of products and services but of communication and targeted brand campaigns
  • More efficient use of resources. When consumer preferences and desires can be more accurately understood and predicted, many resources can be saved thanks to more accurate development of new products. The same applies to advertising and brand campaign efforts. If you discover through segmentation that a certain proportion of your audience likes watching sports, while another prefers watching stand-up comedy, you can tailor specific marketing activities to cater to those preferences
  • Better understanding of competitor audiences. Using similar variables to evaluate your competitors’ target markets allow you to better strategize branding activities
  • More accurate segmentation overall. By incorporating psychographic segmentation into your overall market segmentation activities, you can identify much more accurate and meaningful opportunities and trends, driving new marketing tactics or product offerings
  • Improved customer loyalty. Giving a consumer the feeling that your brand truly understands them and addresses their needs improves brand loyalty.
  • More compelling communications. By targeting your communications and content to appeal to people’s personality traits and interests, you can make your campaigns much more interesting to the right audience
  • Increased brand affinity. When customers feel like your brand knows them, they’ll want to spend much more time with your brand and its products.

How You Can Use Psychographic Segmentation in Your Branding

Collecting Psychographic Data

  • Interview your customers: Ask your existing, past, and ideal customers about their attitudes, beliefs. By going right to the source, you can begin to understand.
  • Interview your sales managers: An organization’s sales team often holds a wealth of detailed knowledge about the beliefs and attitudes of their customers. Conduct interviews with your sales team to find shared attributes and qualities in your customers.
  • Utilize your CRM system: A sophisticated CRM such as Hubspot or Salesforce can maintain detailed data about the businesses or people that make up your customer base. Utilize your CRM tool to find trends and consistencies between.. (more relevant to demographics/behavioral segmentation).
  • Utilize web analytics and social media: Your website, landing pages, and social media channels have the potential to provide valuable data about your customers. By using various tracking tools to measure behavior and perception, you gain insights into the psychographics of your audiences.
  • Use brand tracking software: A good brand tracking tool can help you understand what your target audience feels about your brand and how they are reacting to your campaigns. A tool like Latana can drill down into the niche audiences important for your brand, providing accurate insights that you can base data-driven decisions on.

Analyzing Psychographic Data

  • Identify trends: What trends or segments stand out from the data? Are there any commonly held beliefs about your brand that you hadn’t identified before?
  • Identify opportunities: What can the data reveal about your audience that you hadn’t considered before? What segments are currently not being served? How can your brand begin to serve those segments? Can you see new ways to connect with audiences that have been difficult to reach?
  • Supplement other segmentation data: How does the psychographic data correlate to existing behavioral, demographic, or geographic data? Do you now see opportunities to subdivide existing demographic groups? Are there new patterns of behavior that you can link to smaller groups?

Brands Using Psychographic Segmentation



Final Thoughts




Latana. AI-powered brand tracking helping brands make better marketing decisions via world-class, scalable insights.

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