Introduction
Every business, whether it’s a small startup to a large corporation, operates within a specific industry, and being able to identify which industry a company belongs to can unlock significant insights.
One of the most valuable tools for this identification is the NAICS code—short for the North American Industry Classification System. Whether you’re involved in marketing, sales, business development, or market research, understanding how to use NAICS code lookups can help you better target, segment, and analyze businesses.
In this blog post, we’ll dive into what NAICS codes are, why they matter, and how they can benefit your business. Let’s get right into it!
What Are NAICS Codes?
In a nutshell, NAICS codes are a standardized system for classifying businesses according to the industry in which they operate. Developed by the U.S., Canada, and Mexico, the system is used mainly in North America and was established to provide consistency in the classification of businesses across these countries.
NAICS codes are structured in a hierarchical format, usually consisting of six digits:
- First two digits: Represent the broad industry sector (e.g., 23 for construction, 54 for professional services).
- Third digit: Represents the subsector (e.g., 236 for construction of buildings).
- Fourth digit: Represents the industry group (e.g., 2362 for non-residential buildings).
- Fifth digit: Represents the NAICS industry (e.g., 23622 for commercial buildings).
- Sixth digit: Is used for national-specific detail, differentiating business types at a granular level.
For example, the NAICS code 541511 refers to “Custom Computer Programming Services.” This structured breakdown allows for precision when classifying a business.
Why Are NAICS Code Lookups Important?
Accurate Industry Identification
Knowing a company’s NAICS code allows you to pinpoint its industry with incredible accuracy. Whether you’re trying to understand the market landscape, find your competition, or target potential customers, the NAICS code system gives you the structure you need to categorize businesses effectively.
Enhanced Marketing and Sales Targeting
Using NAICS code lookups, businesses can refine their marketing and sales strategies. Instead of relying on generalizations, you can segment your target audience by their specific industry. For example, if your business offers specialized equipment for the healthcare sector, you can use NAICS codes to find and reach only those companies that belong to the healthcare field (such as NAICS code **621111** for medical practices).
Competitive Analysis
Understanding the NAICS codes of your competitors can help you identify trends, market opportunities, and potential threats in your industry. By looking up the codes of other companies, you can quickly understand their place in the market and compare your business against similar organizations.
Better Market Research
Market research efforts become much more robust when backed by NAICS codes. Researchers can use them to classify companies into sectors, aggregate data, and analyze industries as a whole. This allows for precise and accurate data-driven decisions and forecasting in terms of industry size, growth potential, and market share.
Government Contracts and Grants
Many government contracts and grants are filtered by NAICS codes. Certain codes may be prioritized for bids, allowing businesses within those sectors to apply for funding or contracts that might not be available otherwise. Understanding your business’s NAICS code or the code of a project you want to work on can help you take advantage of these opportunities.
Improving Lead Generation
For businesses that rely on cold calling or emailing, the NAICS code lookup is an essential tool for targeting the right leads. By narrowing down your outreach to only the most relevant businesses, you can increase the chances of your marketing efforts converting into sales.
How to Perform a NAICS Code Lookup
Performing a NAICS code lookup is easy, and there are several tools available to help you find the correct code for any business. Here’s a step-by-step guide on how to look up NAICS codes:
Use the Official NAICS Website
The official U.S. Census Bureau’s NAICS website is one of the most reliable sources for looking up NAICS codes. Simply enter a keyword or business description, and the site will show you the corresponding NAICS codes and descriptions.
Online NAICS Lookup Tools
Many third-party websites offer NAICS code lookup services. These can be particularly helpful if you’re looking for extra features, like the ability to filter businesses by location, size, or revenue.
Business Databases
Many business databases like Dun & Bradstreet and ZoomInfo also provide NAICS code lookups as part of their services. You can use these databases to not only look up codes but also gather additional information about businesses in your target industry.
Industry Associations and Directories
Many industry associations and directories are organized by NAICS codes. If you’re targeting a specific industry, these associations can be a valuable resource for looking up NAICS codes and identifying key players in that market.
Conclusion: NAICS Codes Are Key to Smart Business Strategy
The NAICS code lookup is more than just a tool for categorizing industries—it’s a critical component for any business looking to improve its market strategy, target the right audience, and achieve success. Whether you’re aiming to enhance your marketing efforts, conduct thorough market research, or win government contracts, NAICS codes can provide you with the insight and precision you need to stay competitive.
Ready to use NAICS code lookups to take your business to the next level?
At B2B Global Access, we provide the tools and expertise to help you unlock the full potential of NAICS code data, helping you to effectively and accurately reach your target audience.
Contact us today to learn how we can help you leverage NAICS codes for better targeting, improved outreach, and greater business growth! We’ll see you there.
