Defining your target market may sound easy, but there’s more to it than just identifying who you are trying to sell to. Businesses need to understand their customers if they want to effectively reach their audience and become a valuable part of the community.
Other than questions like “who are you selling to?”, or “Why should they buy your product?” You need to identify you target market in these simple steps:
Creating The Customer Persona
Get to list all of the types of customers that are having problems that you are trying to solve. Once finished, you can start to build a “persona” of these customers Its like playing the Sims and you are the one solving all their problems. Ask yourself relevant questions to these types of people. Are they male, or female? What age group should they belong to? What market sector should they belong to? Once these questions are asked, the easier you would get to build these personas.
Understanding The Problems You’re Trying To Solve
Get a good idea of the solutions that you can provide to your market by understanding their problems. This should also be included in creating a persona. In fact, it should be THE question number one. Understand the true benefits of fixing their problem. This is how your business benefits from realizing the true potential of getting to see what your market really wants to solve. A good example is making sure that your solution does not create more problems for them. You do this by engaging with them in a meaningful conversation. Pick up the phone and talk.
Weigh In The Value Of What You Offer
If you can demonstrate that the cost of not fixing the problem is greater than the cost of dealing them, then you make a compelling case. Ask yourself these questions: To whom would this problem be most bothersome? Who will have the most to lose by not trying to fix this problem? Understand that your market would likely think about the costs but once you have educated them about the benefits.
Segment Your Market
Who do you want to work with? Who are those that can easily relate to you? Do you want to work with high net worth individuals, or the middle income class? Do you prefer to work internationally or within your geographical reach? From here you can get to select your ideal target market and specify their needs. A good example would be outlining your persona #3 as Bob who lives in Brisbane, who earns 60k a year and does financial consultations. Persona #2 Gina would be a middle income earner who lives in Sydney who does small business with restaurants.
What is Your Expertise?
Do you have a lot of experience with Marketing and Sales? How about Advertising? Do you work a lot with doctors? If you have a lot of experience in certain markets, that’s a good way to start. If you feel like you can work on your expertise use it to your advantage. This is a good example: by working in this area these people are most likely to introduce you to the right people and have more market knowledge of schemes and funding available to entrepreneurs.
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