Last week, we talked about online sales funnels and how you can make more money by using them. We described cold, warm, and hot audiences briefly, but knowing your audience deserves more time and consideration.
So, what are cold, warm, and hot audiences?
People in cold audiences just know that they have a problem. For example, they may know that their lawn is brown, the bushes around their house are overgrown, and their curbside appeal is almost non-existent. But they don’t know how to fix the problem, much less who can fix it. They don’t know that they need a combination of sodding and fertilizing to get their lawn looking good again, or that some of the bushes can be trimmed, while some would look better removed. And they definitely don’t know that a local landscaping and lawn care company, ABC Lawns, can help them get their curb appeal back.
On the other hand, people in warm audiences know they have a problem, and what kind of solution they need. They’ll know that they need some sodding and fertilizing done, but they haven’t heard of ABC Lawns or how they’re better than the competition. A warm audience member will be looking for lawn companies, but ABC Lawns will have to get in front of the audience, show how they’re better than the competition, and give them an incentive to buy their services.
Hot audiences are the most profitable. They know their problem, the solution, and your business – in this example, ABC Lawns. They may have already gotten a one-time tree trimming or subscribed to the blog ABC Lawns sends out. Since they know the level of quality ABC provides and trusts them as an expert, all the company has to do is upsell them. For example, ABC could advertise their weekly lawn maintenance package or monthly tree trimming package to a hot audience. The goal is to get hot audiences to pay monthly because that’s money that is consistent and requires no lead generation costs – it’s pure profit!
Cold, warm, and hot audiences are great, but how do you know where to find and how to reach those audiences?
Hot audiences are the easiest to locate because they’ve already interacted with your business. You probably already have their contact info because of a subscription opt-in or because they’ve bought your service or product. (If you’re not saving your customers’ contact info, start doing it now!) Since you already have their contact info, you can retarget and upsell them with Google and Facebook ads, as well as through email campaigns. On Facebook, you can even create custom audiences with your client lists and audiences that retarget people who already like your page.
Warm audiences are people who are searching the web and social media for your industry. That means interest-based or action-based targeting for brand awareness ads on Facebook and Google is a good strategy. Content marketing is another extremely effective way to reach warm audiences. Since they’re looking for your service, they’re more likely to come across and be interested in a blog posted on the web. Make sure your blogs are answering questions warm audiences would have and that your SEO is the best it can be.
Cold audiences aren’t on the look for you so you’ll have to find them. They’re the most expensive audiences to work with because you have to acquire them as leads, but they’re the most valuable in light of expanding your reach and influence. Demographic-based targeting for brand awareness and reach ads work well for cold audiences. Content marketing also may be a good way to hook cold audiences, so make sure your blogs are answering a cold audience’s questions too.
Understanding your audience is the first step to effective marketing. Knowing what they want, how to give it to them, and how to reach them is essential if you’re going to make more money with sales funnels.
Want to know more about sales funnels and effective online marketing? Check out our previous blog about sales funnels, and stay tuned for our next blog about value ladders! Subscribe to the blog via our chatbot.