Even if you are not a marketing professional , you have surely heard about the target market, an elementary concept
when it comes to marketing and promotion.
Perhaps, just by hearing about it, you already associate it with a segment of the public to which a product is directed .
Certainly, this perception is correct, but since it is such an important element, it is worth going a little further and getting to know it in depth.
Does this sound like a good idea to you? If so, you’ve come to the right place! Below we’ll explain what the target
market is , the importance of this segmentation, how to define it for your business plan , and much more.
Attention!
What is the target market?
A company’s target market is the segment to taiwan telegram data which it directs its products and
services and the different promotional and brand awareness messages .
Although the explanation seems simple, it is a really complex element with great potential, from which digital or
traditional marketing strategies, new product development parameters and many other aspects of a business can be
derived.
This concept is directly related to that of the target audience , although there is a small —but substantial— difference
between the two.
What separates these factors is breadth. The target market has a much broader focus in marketing , which is why it
must be taken into account as a starting point for a business project and included in the business plan.
Specifically, it refers to a broad set of individuals who share certain characteristics and needs, which make
them potential customers .
Meanwhile, the target audience is a segmentation of that market , which helps to specify who can be
considered potential buyers of a certain product or service.
For example, in its business concept, a culinary training institute may target people from a certain region who are
passionate about cooking, with a specific level of economic capacity and a predefined age range.
What is the importance of target market in marketing?
The definition of the target market has a direct kyle trenholm relationship with the success and profitability of
companies.
In fact, if this concept is not taken into account in the business plan, ventures have no direction and become unstable,
improvised projects that are highly prone to failure.
When creating a business, thinking that your products and services are “for everyone” is a very
serious mistake , and one that you really cannot afford to make in the competitive 21st century.
Even companies that sell basic necessities need to define a target market in order to strategically select the location of
their establishments, pricing policy and many other elements.
Furthermore, the identity of the business depends on the definition of the target market. The colors, fonts, tone of voice
and even the name of a company are aspects that must be developed based on the type of public to which its offer of
goods or services will be directed.
Beyond all this, the concept of target market helps determine the profitability of the business idea .
By dividing a segment you will be able to answer many questions that commonly arise before starting a project, such as:
- Are there really people willing to pay for this service/product?
- Are there enough users for the business’s products/services?
- Will this idea really have value for consumers or will it be just another one of the many?
- Is the location of the store(s) adequate?
These are doubts that we all have when starting a business, right? Luckily, you can clear them up by defining the target
market, a transcendental concept in the process of conceiving the business and, later, in the management of markets and their development in general.
What are the characteristics of the target market?
You already know that your company, or any other, cob directory cannot satisfy all the demands of the population,
which is why it is necessary to direct efforts to a specific segment.
In addition, in order to make it profitable to target a particular market, it is important to ensure that it has certain
characteristics, such as:
Linking to existing resources
When segmenting the market to define your target, you have to think very carefully about the resources you have as an
entrepreneur .
We are talking about human talent, technological equipment, proprietary knowledge and any other element that allows
you to carry out a commercial project and add value.
For greater benefit and lower investment, it is necessary that your target audience has some connection with them.
For example, if you have knowledge of baking, you have some basic equipment in this area and you have partners who
cook professionally, you have to take all these elements into account to carry out a market segmentation that allows you to take advantage of them.
In that case, you could target an audience of a certain economic class and age range that usually eats desserts on weekends and enjoys this type of preparation.
Breadth and scope
By this we do not mean that your target market should be the entire population of a certain region or millions of users of the digital community with different characteristics.
Simply put, your market needs to have enough potential buyers and customers for the business idea to be profitable .
For this reason, it is important not to overstep the boundaries when targeting the market. An overly specific delimitation will reduce the possibilities of expansion and growth.
Competitor weaknesses
Another objective of defining the target market is to connect with niches that have been abandoned or taken very little into account.
It is a great idea to target groups that, while willing to satisfy their needs through purchases, cannot find alternatives that really motivate them.
In general, it is important that when segmenting you find opportunities within user clusters that have not been fully exploited by potential competitors.