What is a “Target Market”?
- A target market is the group of people to whom you want to sell your product or services. You design your offerings based on the nature of your target market .
- Many marketers want everyone to be their customer or their business partner. This may not prove fruitful always. Instead, you may bankrupt yourself if you try to build your business this way.
- You should only target the people who already (or potentially) have the need for the products, services, or business opportunity you are offering as well as the means and opportunity to make purchase (or decision)
- Most of the people belong to multiple target market at the same point of time.
Why defining the target market is so important?
- It’s important because no small business can afford to target everybody on the planet. Not everyone will want or need what you offer – so we should take enough time and carefully define our target market.
- Developing a well defined target market is the first step to building a profitable business.
- Defining your target market allows you to focus on and refine marketing tactics that will attract business.
- It will help you define your business brand so that it connects with your buyers.
- You will be able to make better business decisions when it comes to advertising and wherever you direct your energy. This will help you avoid wasting money and time.
How to segment your target market?
Target marketing can be segmented based on five categories:
- Geographic = Where they live.
- Demographic/Socio-economic = Age, income, gender, occupation
- Psychographic = Similar beliefs, attitudes, lifestyles
- Behavioral = Loyalty, buying habits
- Product Relationship = How the product is being used
- To effectively define who your target market is, you must step back from your product and view it like a customer
- Price: Who can afford to buy it?
- Usage: Who is most likely to use the product?
- Influence: Who is mostly likely to influence the purchase of these products?
- What niche is your product in?
This will provide you with the lot of info up front about your target market. Example: Diapers are for babies but it’s the parent of infant children who will buy them.
- Look at similar products, services or opportunities. Who are they targeting? Who is buying or showing interest?
- Some products have multiple target markets. Start with the one that closely matches your brand and then expand to others.
- Write down all of the attributes of your target customer. How old are they? What is their income? How do they buy products?
- Go online and read the blogs of people who seem to fit your profile. Talk to people in your audience, read their magazines, newsletters, and follow their social media streams. This will provide you with the insight into your ideal customer.
- It is helpful to write a description of your perfect customer. This will make them more real to you and provide you with a mental image of the person using your products.
Any day is a good day to start marketing
Find your target, and start targeting them with your message.