Is your target market college students, women between the ages of 30 and 50 or seniors? Are you trying to reach fitness lovers, pet lovers or foodies? What demographics was your product or service created for? Also known as niche marketing, understanding – and reaching out to – your best target market will save your business money when it comes to marketing dollars and help you make more of it in the long run.
When you target a specific group and match that plan with a specific message, your marketing investment will lead to higher customer conversation rates, since you’re talking to people who need just what you offer, people who can’t imagine life without what your business sells.
- Understanding your best target market can help you stand out in a crowded marketplace. Think about how many types of cars, granola bars and tennis shoes are available today. Not all of these are designed for just anyone; they were made and are marketed with a specific type of consumer in mind. You can enjoy great growth potential – and increased sales – by targeting a smaller, but more specific, number of people who truly want your product or service.
- Niche marketing is very cost-effective. Rather than trying to target the entire San Francisco Bay area, for example, you can hone in on certain zip codes, neighborhoods, groups or demographics that fit your product or service. If you are selling high-end baby strollers, your budget will be best spent targeting women in wealthier neighborhoods, and if your business is focused on social media outreach for small businesses, you can best spent your time marketing to just those businesses.
- It also gives you the chance to tout your business’ specific benefits. While not every consumer will be interested in the wood that you use to make your custom-made house numbers, for instance, the artistic, natural customers who would appreciate these certainly will. When you use niche marketing to reach your best audience, you have the opportunity to truly tell your story and let your business shine.
- Finally, understanding your best target market will give you a greater chance to hear from, listen to and connect with your customers. Whether you offer in-home spa services, consulting for global companies, a product of the month club or something else, when you serve and reach a niche market, you will enjoy the opportunity to really get to know your customers and potential customers. They will give you feedback and input – listen to it. When your target market is smaller, you can’t take the chance of alienating your audience and losing business, so it is very important to be responsive to customer needs. You will also get free input on potential new product features and improvements for the future.
No matter what your target market is, when you identify and target that group, you will save your business money, help foster new business and set yourself up for future growth.