Learning to market to a specific group
If you are a business owner you need to put yourself in the shoes of your customers. Do you know why they buy your products or services? Is your pricing appropriate to maximize the potential profit or your product or service? Do you feel that your marketing is adequate when all you do is to simply knock off 20% to 30% whenever clients turn scarce or inventory creeps up?Most importantly have you set any marketing targets or sales goals for the next 12 months or so?If you do not have a plan on how to best market your product or service you may not be reaching the specific group who can best utilize your product or service and bring you the highest potential profit.
You won't need to use elaborate charts or high-priced consultants to develop effective marketing. But you do need a plan to reach your target market.A marketing plan gives you a roadmap that can drive product action and point the way to maximize the profit potential from your target market. A marketing plan can help you:
- Evaluate your company's data against your industry or market.
- - Track results so you learn what works.
- - Most importantly identify what specific group you should market your product or service to.
Using the basic concepts of marketing your can tailor your marketing strategies to reach the specific group who will be most interested in your product.Your marketing plan should incorporate the strategies you need to reach your chosen target or specific market.
- Product: You must be sure that your product is the right one for your target market.A demographic study is necessary at this point to determine that you are basing the appeal of your product or service to the right group.A demographic study should be able to give you the age, gender, income level, and any other pertinent information about the group who would be the most interested in purchasing your product or service.
- - Price: Your target market will be willing to pay a certain price for your product or service.It is crucial that you are able to determine what that is.If you price your product to low almost any target market will see your product or service as having little value.Likewise if you price your product to high for your chosen target markets you may find yourself with a great product that dies quietly on the shelf. You will want to price your product or service for an amount that makes your target customer feel it's a good deal.
- - Promotion: This involves creating appropriate perceptions that will reach your target market.Is your target market technologically savvy and will they access the internet for your product?Or will your target market need to see your product in a retail location in order to be interested in making a purchase?Knowing who your target market is will help determine the best places to advertise your product or service and the best places for points of purchase.
- - Place: It is crucial that you able to distribute your product to locations where your target customers can readily find it. By determining where your target customers will shop you can then maximize your potential profit. Keep in mind though that sales alone is not what you are after.Sales that come with a high cost of doing business do nothing but cut into profit.You as a business owners are looking for cost efficient ways to market your product to the right customer for the lowest possible cost thus helping maximize your profit.