How to Define a Target Audience for Your Renewable Energy Company

Growing consumer interest in broad climate policy changes and clean energy support exciting growth in the renewable energy market. 

In the United States alone, solar and wind energy capacity is set to nearly double by 2030 – accelerated by tax credits in the Inflation Reduction Act. One estimate puts the anticipated value of the global renewable energy market at nearly $2 billion by the end of the decade. 

The green energy market is expanding. And increased interest means stiff competition.

Marketing your product or service to a targeted audience for renewable energy is essential to stand out in a crowded field. A calculated approach can push your brand past competitors. 

A renewable energy marketing strategy will ensure your company is positioned to grow alongside advancing technology and soaring investment. Around the world, energy consumers are more sophisticated – and marketing strategies must keep up. 

Success starts with identifying your target audience. 

Who Invests the Most in Renewable Energy?

By size, large industrial companies and utility service providers have the most concentrated investments in energy infrastructure. 

Heavy energy consumers in manufacturing, transportation and logistics, and industrial sectors have financial interests in reducing utility costs. Upfront equipment costs and installation typically require major capital for this segment. Many industrial energy consumers use fossil fuel alternatives – mainly biomass, which is the largest renewable source of power in the United States.

Utility service providers are major spenders on infrastructure to secure the grid, improve reliability and transmission, and drive down the cost of energy generation and delivery. Renewable energy sources are becoming more affordable and, in some cases, production costs less than fossil fuel power generation. The majority of renewable energy used by U.S. electricity providers comes from wind, solar, and hydropower.

Demographics of Solar and Green Energy Customers

Federal data show roughly 4% of homes in the United States have solar power equipment. Existing residential solar power density is highest in the West and Northeast. Higher-income households (more than $150,000) are more likely to have solar.

The share of commercial buildings with solar power is trailing. And government-owned buildings are far more likely than private commercial businesses to have solar power.

What is the market for renewable energy? Large industrial and commercial users are prime targets – including for renewable energy storage solutions. In transportation, biofuel demand is growing but businesses face high costs.

As government incentives and advanced technology lower consumer costs, renewable energy companies have new opportunities to target a wider audience. Should your marketing hold general appeal? Or should you go all-in to reach one type of customer? Audience segmentation can help answer these questions – and offer ways to maximize potential with all customers. 

Renewable Energy Customer Segmentation

Marketing segmentation refers to grouping consumers based on a variety of factors including demographics (such as age and geography) and spending power. 

For consumer-level renewable energy products and services, segmentation can also include evaluating the motivating factor behind a purchase. 

B2B segmentation should factor in industry type, budget concerns, and location. 

We’ll look at some examples below. 

Probe the intrinsic motivations of your target audience by asking questions about their fundamental interests, needs, and values. If you’re marketing to industry, dive deep into energy-adjacent business pressures, technology integration, and operation challenges. 

The better you understand your potential customer, the more likely your targeted marketing will resonate. This is key to translating your knowledge of a segmented audience into practical messaging. 

Identifying your ideal client or target audience and applying a segmentation strategy is the baseline for overall brand positioning. From here, you can effectively communicate your value proposition through tailored marketing, advertising, and sales approaches. 

Accurate user personas pave the way for consumers to see themselves reflected in your marketing. 

Let’s look at an example: 

We’ll call her Off-Grid Gina. She wants to outfit her home with solar power to ensure she has reliable electricity in harsh conditions – whether that’s weather-related or grid capacity-related. When Gina starts shopping, she sees some companies marketing around climate change and saving the planet. She’s drawn more to solar solutions that boast customization, energy independence, and user-friendly system features. During a sales meeting, she’s more interested in storage and sell-back capacity than data about how solar power reduces carbon emissions. 

Here’s another example: 

Let’s call him Power-Hungry Peter. Peter is the CFO of an international casino-resort chain. The business has dealt with electricity costs rising 2 to 5% year-over-year. The casino parent company has pledged to reduce its carbon footprint but is challenged to adopt new technology without slowing down operations. Solar panels alone won’t solve this problem. He’s most likely to go with a business that markets its capacity to scale infrastructure across multiple locations. 

What are the Prospects for Renewable Energy? 

Energy decentralization and climate change interests are set to further propel growth in the clean energy market. Corporate sustainability pledges are influencing cultural and legislative trends, and transforming supply chains. 

Capacity is growing in both small-scale (residential and commercial) solar power and large distributor-based solar. New federal tax programs could further expand solar capacity to low-income communities and households that weren’t previous prospects.

State and federal government collaboration is expected to boost offshore wind development on the East Coast. The growth creates opportunities for a range of producers and suppliers in primary and secondary markets. 

Consumers big and small, across sectors and geography, will search for renewable energy companies offering value and exceptional service. A superior marketing strategy will align your brand with consumer interest. Nearly every potential customer will start online looking for information. This means digital marketing should be a top priority for you.  

Your website, social media, SEO strategy, paid advertisement, and email marketing should resonate with your target audience.   

As you study your audience segment, evaluate your offerings and identify how you stand out from the competition. Are your installers more experienced? Do your products have generous warranties? Is your technology one-of-a-kind? Do you offer better value? Are the most established in your service area? 

Each of these questions and more will help you shape your renewable energy marketing strategy. 

Need support in finding and reaching your target audience? We’re ready to dive deep with you on renewable energy marketing – contact Beyond Marketing today to start the conversation!