Skyrocket Your Retail Profits with Persona Marketing in 2024

Driven by advancements in technology and shifting consumer behaviour, retail marketing in 2024 is set up to undergo a radical shift. Demographic-based marketing — once the cornerstone of retail marketing strategy, is quickly becoming obsolete as more personalised, nuanced approaches take over.

Forward-looking retail marketing strategies in 2024 embrace detailed shopper personas to craft personalised omnichannel buyer experiences. Choco Up’s and Inside Retail’s “Delighting the 2024 Shopper” report provides retailers with a comprehensive guide to leveraging these shopper personas to create more engaging and ROI-driven retail marketing strategies.

Did you know 44% of Australians say they won’t revisit a retailer if they’re out of stock? Download the free “Delighting the 2024 Shopper” report today to learn what influences modern consumer behaviour and discover detailed persona frameworks from a survey of over 500 shoppers.

This article covers snippets from the report to illustrate how demographic-based marketing strategies are giving way to more dynamic, persona-driven approaches. We'll also explore why understanding diverse consumer personas is essential to maximising your retail marketing results and growth in 2024.

Consumer Behaviour in 2024

The relevance of traditional demographic market segmentation markers like age and sex is diminishing. Our survey of over 500 shoppers revealed several key factors influencing consumer behaviour that are uniformly distributed across all demographic groups.

For example — when consumers surveyed were asked what they like most about their favourite online retailer, these answers: having the best prices, free delivery, easy-to-use website, fast delivery, having products that fit their needs, and product quality, consistently came up on top, regardless of shopper demographics.

These key factors, combined with the emergence of "phygital" shopping experiences — the blending of physical and digital channels — mean brands must develop integrated retail marketing strategies to connect with their customers on multiple fronts.

Online and Offline Shopper Personas: Why You Need Both

Why do we need different channel personas? That’s because consumer behaviours, such as a shopper’s preferences and decision-making process, can change drastically when shopping online compared to in-store.

This means an individual shopper may switch personas based on the channel they are shopping in at that moment. Savvy retail brands that understand this dynamic can strategically tailor their offerings to provide personalised marketing that is aligned with the needs and preferences of each persona across both platforms.

Through an intensive statistical analysis, our "Delighting the 2024 Shopper" report identified five unique personas for online and offline shopping.

Here’s a brief overview of each persona in the report:

Online Shopper Personas

1. Typical Online Shoppers: Value ease of use, relevant products, and conveniences like Buy Now, Pay Later options.
2. Product-focused Online Shoppers: Prioritise high-quality, unique products with good return policies.
3. Price-conscious Online Shoppers: Seek the best deals, including free delivery and price-matching guarantees.
4. High-engagement Online Shoppers: Expect clear communication, fast delivery, and accurate product descriptions.
5. Low-effort Online Shoppers: Look for fast delivery and user-friendly websites, prioritising convenience.

Offline Shopper Personas

1. Typical Offline Shoppers: Enjoy the shopping experience itself, valuing well-designed stores and interesting products.
2. Product-focused Offline Shoppers: Seek high-quality products at competitive prices.
3. Low-effort Offline Shoppers: Favour convenience, preferring stores with easy access and online stock checks.
4. Price-conscious Offline Shoppers: Are bargain hunters who expect helpful staff and competitive pricing.
5. High-engagement Offline Shoppers: Have high expectations for service, including knowledgeable staff, efficient checkouts, and a positive store environment.

For a more comprehensive understanding of these shopper personas, including detailed insights into their preferences, dislikes, and effective marketing strategies to engage them, download our "Delighting the 2024 Shopper" report.

Implementing Persona-based Retail Marketing in 2024 with Choco Up's Support

Transitioning from traditional demographic market segmentation to persona-based marketing is essential for modern retail brands looking to grow in 2024. Here are some ways to start:

Actionable Steps to Transition to Persona Marketing

• Audit Existing Marketing Strategies: Evaluate your current marketing efforts to identify areas where you’re relying on demographic market segmentation.

• Develop or Adopt Persona Profiles: Conduct your own market research or use existing research like the “Delighting the 2024 Shopper” report. Cross-reference these personas with your existing customer data to segment your customer base into predefined profiles to understand their preferences, buying behaviours and media consumption patterns.

• Align Marketing with Personas: Customise your marketing messages and channels to align with the newly identified personas, ensuring personalised content that resonates with their specific needs and lifestyles.

Addressing Challenges

The shift to persona marketing might disrupt existing workflows and require new skillsets. Retail brands should be prepared to overcome these challenges by:

Training Staff: Equipping your team with the skills to understand and implement persona-based retail marketing strategy.

Updating Technology: Investing in tools and reporting platforms that can handle detailed persona information and deliver actionable insights.

Iterative Testing: Regularly test and refine your omnichannel retail marketing strategies based on ongoing customer feedback and behavioural data to achieve your desired return on ad spend (ROAS).

The Importance of Working Capital

Working capital is essential for retail businesses to adapt to rapid technological changes and evolving consumer behaviour and preferences. Whilst transitioning to a persona-based marketing strategy offers many clear benefits for retail brands, not every business has the immediate cash flow to support the necessary training and technology investments required for such a shift.

Choco Up's revenue-based financing solutions provide the necessary capital to empower businesses to transition to persona marketing and stay ahead of the competition. Beyond persona marketing, retailers can also consider using the growth capital from Choco Up to develop, implement and improve their omnichannel strategies. This is essential for addressing the dynamic consumer behaviours that see shoppers seamlessly moving between online and offline channels.

By offering funding based on future revenue instead of fixed loans, retail businesses can secure the necessary capital to initiate these business strategies while benefiting from a flexible payment schedule aligned with their sales cycles. By doing so, brands can invest confidently in persona marketing without compromising financial stability or diluting equity.

Futureproof Your Marketing with Choco Up's Growth Capital

As the retail sector continues to evolve, embracing persona marketing will be key for retailers looking to grow in 2024. Insights from the “Delighting the 2024 Shopper” report will be key for brands looking to overhaul their marketing strategies to better align with modern consumer behaviour and expectations.

For retailers looking to stay competitive, consider Choco Up’s revenue-based financing solutions to quickly implement and scale persona marketing strategies, ensuring you grow and thrive in 2024.

Stay ahead of the curve in retail marketing. Download the free “Delighting the 2024 Shopper” report today to start tailoring your marketing efforts to 2024’s shopper personas and drive sustainable growth.