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Unlocking Sales Potential: How NAICS Codes Can Drive Targeted Growth

March 3, 2025|DISC Corp|

Using NAICS codes strategically can be the difference between a scattershot approach to sales and a laser-focused strategy that drives results. DISC Tracks and forecasts electrical purchase potential for 1059 NAICS Codes in its MarketTrack application. The output also includes a count of employees and establishments for each NAICS code at the National, State, County, and Zip code levels.

What are NAICS Codes?

NAICS codes are a standardized classification system used by federal statistical agencies to classify business establishments based on their primary economic activity. These six-digit codes help streamline the analysis of economic data and facilitate better business decision-making.

Example of NAICS Codes:

•              238210: This industry comprises establishments primarily installing and servicing electrical wiring and equipment. Contractors in this industry may include parts and labor when performing work. These contractors may perform new work, additions, alterations, maintenance, and repairs.

•              335910: This is the Battery Manufacturing industry code. It covers both primary and storage battery manufacturing, and this NAICS has excellent potential for our industry. 

Identifying Sales Targets

1.            Market Segmentation: Businesses can categorize potential customers into specific industry sectors using NAICS codes. For instance, a company selling healthcare-related products can target firms classified under NAICS code NAICS 62. This sector encompasses hospitals, nursing facilities, and social services, and it is driven by an aging population and increasing healthcare needs.

2.            Tailored Marketing Strategies: Knowing a potential client’s specific industry allows electrical sales teams to customize their marketing efforts. This targeted approach increases engagement and conversion rates.

3.            Lead Generation: NAICS codes facilitate lead generation by allowing businesses to filter prospects based on industry characteristics. This approach helps identify organizations that may benefit from specific products or services.

Analyzing Market Clusters

1.            Geographic Concentration: By analyzing NAICS codes, businesses can identify regions with a high concentration of specific industries. This data helps decide where to focus sales efforts or establish new locations.

2.            Investment Opportunities: Understanding industry clusters helps identify regions ripe for investment or M&A activities. For example, a surge in tech-related NAICS codes in a particular area may indicate a burgeoning market, warranting further exploration.

3.            Benchmarking and Comparison: Companies can use common NAICS codes to benchmark performance against industry standards. Evaluating trends within specific segments enables better strategizing and competitiveness.

NAICS codes are a powerful tool for businesses seeking to sharpen their sales targeting and market analysis. By leveraging these codes, companies can refine their marketing strategies, optimize resource allocation, and uncover high-value market opportunities. A data-driven approach not only enhances decision-making but also fuels long-term business growth. Ready to take your sales strategy to the next level? Contact us today to schedule a meeting or explore DISC’s solutions for data-driven sales growth at www.disccorp.com.