3 Reasons to Define Your Target Market
When asked who your target market is, do you respond with “Anyone who needs…” or “Anyone who wants”? If yes, then perhaps you could take a bit of time to define your target market. Why? Here are 3 great reasons.
1. A defined market helps to determine promotions
Let’s say you’re an electrician and you’d like to promote a 25% off coupon. If your target is “anyone who has electricity” then you will most likely be spraying your message around like air freshener. Instead, define your target market for homes that are 15 years old or older because older homes are more likely to need repairing than new ones.
2. A defined market helps you decide where to spend your marketing dollars
How many of us has an unlimited marketing budget? Right. None. Let’s say you have a lawncare business and your target market is “anyone with a lawn”. You’re promoting your business on Facebook. Consider narrowing that target to “families with young children within a 25 mile radius”. This way, your marketing dollars are concentrated and the right people see your promoted posts.
3. A defined market helps you decide what avenues to pursue
If you are an awesome beer soap seller starting a new marketing campaign and you’d like to sell your soap to “anyone who bathes” you might have a hard time deciding where to start. If you start with “18-25 year olds who bathe” then your marketing consultant is going to point you straight to Instagram and Pinterest.
It can be tough to define your target market. The truth is, many target markets really are “anyone who needs”. However, for a more effective marketing campaign, divide that huge target market into smaller, bite-sized pieces and position your business for each one so that the return on your investment is a much bigger one.