There is a simple test to perform to ascertain whether or not an individual is part of the target market for an In-Store Branch. Watch the front door. If a person steps into the store, they are a member of the target market. If an individual lives across the street from the retail store, but never shops your store, he or she is probably not part of the target market.
The demographics of the people walking through the door are important, but not as important as the fact they walked through the door. The In-Store Branch will have different products and services to fulfill the needs of varied demographics. It is important that the traffic flow of the retailer is analyzed in order to find the proper product mix to market at any given time.
A common mistake made by some In-Store Branch staff members is devoting a large portion of their time and effort thinking of methods to draw customers to the retail store. It is primarily the retailer’s job to attract shoppers to the store. The In-Store Branch should focus its efforts and energies on customers already drawn to and frequenting the store. The fact that an individual is a customer of the store automatically tells the In-Store Branch staff that they have a strong selling point with the customer. Regardless of where that person currently banks, the In-Store Branch is the most convenient location.
The Scope of the Target Market
Since the target market is defined as any person that steps into your store, you will also need to understand each unique target audience within that market. Plans to attract your target market should include reaching out to the following groups:
- Shoppers
- Retail employees
- Retail vendors
- Retail tenants within the store
- Retail tenants just outside the store within the immediate area
Supermarket Customer Patterns
In order to appropriately market and promote the institution’s products and services, it is helpful to know supermarket customer patterns. The grocery industry realizes the importance of studying shopping habits, preferences, and patterns to better attract and serve customers.
In-Store Branches can utilize much of this information to better market products and services, as well as staff the branch appropriately. Strong target market knowledge is a foundation of successful marketing and promotions. While industry-wide supermarket customer patterns are usually highly applicable, individual In-Store Branches need to be aware that each supermarket is somewhat unique. Local demographics, industry, and traffic patterns will affect customer patterns.
On any given business day, you will have the opportunity to connect and build relationships with various demographic groups within your store. The focus of your branch is to equally canvas each segment of your store’s traffic by understanding the unique complexities of each demographic group and the time they arrive each day.
Customers form and exhibit pattern behavior. This simple fact can allow an In-Store Branch to better structure staffing, promotions, and marketing methods.
Demographic Makeup of the Target Market
Female Shoppers
The female head of household is the primary grocery shopper in approximately 6 out of 10 dual households. Females tend to purchase 75% of all household products. Male heads of household are the primary shoppers in only about 3 in 10 households, and there is no primary shopper in about 1 in 10 households. Females tend to make up a large portion of the In-Store Branch’s approachable target market.
Full-Time Workers
The individual household and dual income households typically do not have ample available time during the weekdays for major shopping trips. This does not mean these customers will not visit the grocery store several times during the week. These weekday trips, however, tend to be shorter and more hurried.
Major shopping trips taken by full-time workers tend to occur between Friday and Sunday, with the majority of those taken on Saturday. Extended hours and expanded banking days are important characteristics to market to this portion of the target market.
Parents With Children
Children under the age of 18 are taken along on weekend shopping trips by a substantial segment of your full or part-time employed shoppers. This fact would suggest that promotions revolving around children (e.g., balloons, stickers, and coloring contests) may be appropriately scheduled for Fridays, Saturdays, and/or Sundays (if applicable).
Parents may bring their children during morning or early afternoon shopping trips depending on the age of the child. The In-Store Branch should be prepared to connect with children when available as this practice attracts the parents and decision makers. Children are also the catalyst of a majority of the impulse buys and are keenly aware of your colorful promotions and attention grabbing branch activities. A child’s presence within your store opens up more opportunities for connecting with shopping parents.
Parents maintain a very hectic schedule juggling their household duties amidst the appointments, athletic events or school engagements of their children. Their need to be valued and appreciated is an important marketing tool that should not be overlooked. The active In-Store Branch will provide opportunities to assist parents with their shopping trip.
Senior Citizens
Senior citizens represent an important segment of a financial institution’s customer base. In some areas, the senior citizen customer represents the largest segment of the market. Studies have shown that senior citizens represent the fastest growing segment of the population.
It is very important that the In-Store Branch realize the differences in senior citizen behavior patterns, and adapt marketing and promotions geared to this segment accordingly.
While full-time workers flock to the grocery store on the weekend, senior citizens tend to have more widespread shopping patterns. Also, senior citizens are more likely to make more frequent, smaller shopping trips to the grocery store during the week. Typically, the senior citizen shopper is more accessible for person-to-person discussion. The In-Store Branch staff’s ability to personally communicate with these individuals is important.
While convenience is always a strong marketing point, it may not be the primary focus in marketing to senior citizens. Often, the personal relationships that are capable of being formed are the best and most effective marketing tool available.
College Students and Youth
While the majority of the youth within your target market will not be of age or maintain a credit background to meet account opening criteria, they are still a valuable commodity for the In-Store Branch.
Building connections and educating these individuals on the importance of investing and protecting their financial future will bring the In-Store Branch dividends in the long run.
Connecting with the college students in your store will help you understand the future makeup of your target market. The shopping patterns of college students and youth are generally spread out throughout the week. They tend, however, to schedule shopping trips to the grocery store in the late afternoon and the evening. The value of extended and weekend hours is appealing to this diverse segment of the target market. They are more likely to adapt to the electronic and mobile services available faster than any other target market.
Military Personnel
Some In-Store Branches are located in areas near or directly on a military base. Serving the financial needs of America’s military personnel is a challenging and unique opportunity. Understanding the way of life for members of the U.S. military program is essential to reaching this demographic. The shopping patterns of military personnel resemble that of senior citizens. Shopping trips tend to be more spread out during the week, shorter, and more frequent.
Hispanic Shoppers
One growing segment of our target market is the under-reached and under-served Hispanic population. Hispanic shoppers may be challenging to reach if a language barrier is present. Also, trust is a critical selling feature for the Hispanic shopper. Successful In-Store Branches focus on building and cultivating personal connections with these valuable shoppers.
The shopping patterns of the Hispanic population mimic that of corporate America. Therefore, meal times and evenings during the week as well as weekends are prime marketing opportunities for the In-Store Branch team. The addition of Hispanic-speaking associates and a calculated marketing plan aimed at this demographic will be seen as hospitable and inviting.