Market Research helps to remove the guesswork from business decisions. Make sure to download Small Business BC’s Market Research Checklist.
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You’ve developed a killer product or service, but there’s still work to be done before you can take it to market. Successfully pitching to the right target market is the most efficient way to maximize your marketing’s return on investment. So how do you identify your target market?
No matter what your product is, you need to understand your customer to achieve a successful launch. Who are you selling your product to? Why would they want to buy your product? What’s in it for them? Fortunately, there’s a methodology you can turn to rather than relying on broad, ineffective marketing. Read on, as we examine the steps involved in identifying your target market.
What Problem Does Your Product/Service Solve?
A wise place to start is to figure out what your product’s reason for existing is. Then, use that conclusion to determine the kind of people who would be willing to pay for it. A free and easy way to see the conversation around your business idea is to employ Google’s Keyword Tool to analyze trends and see just how many people are searching for terms around your product.
Identify Your Target Market
Once you’ve identified the types of people that could be helped by your product you can start to develop a better idea of who these people are. Think of grouping them into smaller chunks along demographic and psychographic lines. In demographic terms, consider the following:
- Age
- Gender
- Location
- Education
- Income
- Marital Status
- Occupation
- Ethnic Background
For psychographic criteria, consider the following:
- Hobbies
- Interests
- Values
- Lifestyle Preferences
- Attitudes
Every industry is different, so these lists should be viewed as a starting point. Feel free to add your own adjustments and additions. The more information you can compile on your target market, the better you can sell to them.
Observe The Competition
Don’t be afraid to closely look at what your competitors are doing. Look through their social media feeds and their company website. Identify who they are pitching their product/service toward and see how you can learn from it. If it doesn’t speak to what you’re trying to do, use it as an exercise in further distancing yourself and your product from their offering.
Why Should Customers Buy From You?
Now that you’ve identified the people who will be your customers and what competitors are doing, you need to consider your value proposition. Identify the position you want to take in your industry, and how you can communicate to people that you’re uniquely positioned to solve their problem or need. Are you open convenient hours your competitors don’t match? Do you offer free delivery? Identify what your unique selling point is, and pitch it to the markets you identified earlier.
Find Out More
Small Business BC offers a variety of Seminars that will help you achieve your marketing goals and pitch your product perfectly. Our resident Market Research expert, Mark Eversfield, also offers one-on-one Market Research Coaching that will teach you where to focus your marketing efforts. Looking to identify where your target market lives? Bizmap can be used to identify where you can find potential customers for your business.
Market Research helps to remove the guesswork from business decisions. Make sure to download Small Business BC’s Market Research Checklist.
Download Now
