How Effective Targeting Will Win the Mattress Wars
Choosing the Right Segments Will Make a Big Difference for Your Campaigns
Feb 11, 2019 7 Min Read
Mattresses. There’s barely a house in America without at least one. Marketing something that practically everyone wants and needs should be a piece of cake, right? Not so fast.
There’s a lot of competition when it comes to mattress retailers, even more so with the advent of the “mattress-in-a-box,” which Casper launched back in 2014. This was a game changer in the mattress world — it solved a lot of major logistic problems (transportation, delivery, customers trying to fit them through doors, etc.) that plague large consumer products. This innovation also made ecommerce for mattress retailers a more realistic option. There are now anywhere between 100-150 online mattress retailers, which means competition is fierce.
It can be difficult to differentiate in a market so crowded, often with very similar offerings from competing brands. That’s why it takes savvy targeting consideration when building your campaign. Let’s take a look at what you should consider when targeting prospective mattress shoppers.
There’s Power in 3rd Party Data
When you’re looking to get your ads in front of potential mattress shoppers, one of your greatest assets is 3rd party data. SteelHouse has partnered with Oracle and the Oracle Data Cloud to provide advertisers with the ability to do just that.
Third party data gets you access to audience segments your first party data can’t. Want to seek out shoppers who purchased a mattress in the past from any brand? You can. Interested in new homeowners? You can reach them. Want to geolocate within certain cities? You can — and you should because city dwellers are more inclined to convert than more rural customers. Armed with the right data, you can drill in and find potential customers wherever they may be. But it’s not just having the data — it matters how you use it.
Target Users Who Are Likely to Convert, Whoever They Are
So once you have your data, it’s time to make use of it. An obvious starting point is targeting shoppers who are in-market for a mattress. But to get an edge on the competition, you should go beyond the norm. That means searching out segments that include people who are either experiencing life events or other circumstances that could lead to a mattress purchase. Mixing those with more tried and true segments is a formula for success.
Let’s look at some examples of audiences found within the Oracle Data Cloud that were used in successful SteelHouse campaigns.
Approach: Mattress Shoppers
- Segment Name: Mattresses
- Why You Should Use this: This is an obvious one, but you should always include the basics. Target users who are in-market for mattresses.
Approach: Brick and Mortar Mattress Shoppers
- Segment Name: Mattress Store Recent Visitors
- Why You Should Use This: These shoppers are pretty clearly signalling their intent, and since you should have access to this type of data, it would be wise to make use of it.
Approach: New Movers/Homeowners
- Segment Name: Home Value (then select a price range)
- Why You Should Use This: A lot of people don’t want to lug a mattress across town, and will instead buy a new one when they’re moving. You’ll know the demographic that typically purchases from your brand, so pick a range of home value that aligns with your offering. If you’re a premium, high end brand, it’s a good idea to correlate this with a higher value.
Approach: Home Gym Shoppers
- Segment Name: Home Gyms
- Why You Should Use This: This one might not seem obvious, but it works. People who are spending on home gym equipment most likely have the means to afford a mattress, and importantly, they value a good night’s sleep. This is a good example of going beyond the usual audiences and looking for opportunity where others may not.
Approach: Property Managers and Professionals
- Segment Name: Property and Facility Managers
- Why You Should Use This: People buy mattresses for professional reasons too, and you should be ready to snag those sales as well. It’s helpful to consider different types of groups that can be in-market. Another segment to consider is “Accommodation & Hotels.”
Approach: New Parents
- Segment Name: Due Next 4-6 Months
- Why You Should Use This: A major life event like having a baby means a lot. New life, new responsibilities, and a new crib. You can provide a real service to expecting parents by serving them ads for an item they’ll need.
One important note when choosing target audiences is to make adjustments based on what’s working and what’s not. Effective optimizations are key when finding your ideal audience, and keeping an eye on the less-obvious segments can help keep your spend effective. Once you’ve identified segments that are pulling in new customers and eventual conversions, keep it going, but always be open to making adjustments.
Effective Targeting is the Key to Winning
The mattress game is a crowded one, but it’s also winnable. Shoppers have a lot of options and will most likely choose a retailer who effectively and consistently connects with them when they need them most. By choosing the right segments, you can ensure that your brand is the one they choose.