When developing a marketing plan, defining your target market is a key step. Consumers have different interests and values. It’s important to know which consumers you’re most likely to reach based on these factors.
Understand Your Product
When defining your target audience, take a look at your product. Make sure you understand what it is you’re trying to sell and how it’s likely to be used. Is it something retirees will find enjoyable? Or are teens likely to value it? Understanding key factors about your product will help you define your target market.
Understand Your Current Customers
If your product isn’t new, you can look and see who your current users are. Why do they use your product? What would make them use more of it? Surveys and focus groups can be beneficial at this step. They can help you understand the consumer and narrow the market.
Understand Your Competition
As you think about your product and all the possibilities of who will use it, you’ll start to see who you should be marketing to. This group is your target market. If you’re stuck, or the possibilities seem endless, look at who your competition is marketing to. You don’t have to choose the same audience as your competitors, but it helps to know what you’re up against.
Look at Demographic Information
Once you’ve thought about your product and how it’s likely to be utilized, you can start narrowing down your target market. Look at demographic information first. Age, location, number of children and income are all factors. For instance, if you’re looking to market your product as a luxury item, income level will be important in defining your market.
Take a Look at Lifestyle and Attitudes
After looking at demographic information, look at lifestyle and attitudes. What other products is your target market likely to buy? Where do they shop and where do they go on vacation?
Give Your Market a Persona
As you’re looking into lifestyle, it may seem that your target market is taking on a persona. This is good! In fact, developing a character that defines your target market is a really great exercise in helping you define and narrow your market. What’s your character’s name? How old are they and where do they live? Are they a millennial hipster or a baby boomer on the cusp of retirement? Developing and defining these characteristics will help you market creatively and think outside the box when reaching your market.
Only after you’ve defined and personified your target market can you move on to developing a plan to reach them and earn their business, so get to work finding the best market for your product.