Who is your target-market?Many small-scale businesses, especially start-ups, need help defining this question.
One thing is for sure: you cannot just sell your products or services to anyone.As a small-scale business,You must have a particular niche or group of people you’re trying to reach.
In this blog,Social Insights asks questions that will help you understand your target market better.
Depending on your type of business and its years of existence, it is crucial to understand that your target market is a specific group of people with shared characteristics with which a company markets its products or services.
What are you selling?
What services are you offering?
Who will benefit from your product or service?
What problem are you solving?
How are you solving this problem?
Is it a short-term or long-term problem that your business is trying to solve?
Do they need your product or service?
Are your customers willing to reward you or spend money to access your service or product?
Once you carefully answer these questions, it is time to segment your target market into four categories. You can always do a broad segmentation or a brief one, depending on what stage you are at with your company.
Geographic segmentation
This segmentation is based on the location of your target market. To be more specific and achieve your long-term business needs, it is always wise to narrow it down to the exact location or broaden it depending on the stage that you are at.
Demographic segmentation
This segmentation requires a business to gather data such as age, gender, marital status, family size, income, education, race, occupation, nationality, or religion.
The more you understand this information about your target market, the easier it will be to tailor services or products accordingly.
Psychographic segmentation
Once you gather demographic information about your target market, it’s time to understand their purchasing behaviors, which can be narrowed down to their personality, lifestyle, social status, activities, interests, opinions, and attitudes.
Psychographic segmentation goes hand in hand with behaviour, which gives business people an understanding of consumers’ purchasing behaviors.
Remember that grouping and regrouping your target market allows businesses to market customized products to potential consumers.
