Understanding your target market is key to paving the path to reaching your new product potential.
The bottom line is..
If you really don’t know the real needs of your target market…
how can you expect to sell-to and then prosper-from your target market? Todays consumers are smart and savvy. What’s key for you as a new product developer is adopting your initial target market research strategy to complement the way today’s consumers research, shop, and buy?
Your Target Market can be best defined as your “ideal” clients or customers that would consider buying your new product.
to meet your potential buyers where they are — you must have a deep understanding of who your buyers are, your specific market, and what influences the purchase decisions and behavior of your target audience members. Enter: Market Research.
Identifying your target market can be challenging if you don’t have an effective strategy. Here are a few helpful tips to consider;
What does market research tell you?
Market research provides insight into a wide variety of things that impact your bottom line and here are just a few…
- Where your target audience conduct their product research
- What seems to be trending in your product market
- Who makes up your market and what their challenges are
- What influences purchases and conversions among your target audience
Here are a few more helpful target market research tips for you to consider…
Step 1: Know the market Problem, Challenge or Frustration do You Want to Solve with your New Product
The secret to knowing your target audience is to identify how your product can help people to eliminate a certain issue, problem, frustration or challenge from their life. Ask yourself, “will my new product concept help people overcome their challenges and make their lives easier?” If the answer is a big, firm yes to this question, then you have a product that can actually cause ripples!
After you have clarified the top industry problems or challenges that your product can solve, and you’ve identified what obstacles might be in their way, start drawing up a list of people who might face such problems on a day-to-day basis. Your target market audience will come from those individuals who have the problem or challenge that your new product can provide a solution and many benefits to. Voila! You have a rudimentary list of your target demographic!
Step 2: Build A Customer Profile & Demographics
Identifying the typical end-users of your product will help you to build customer-focused campaigns and engage the right kind of audience. Build a customer persona by creating a list of their interests, age, gender, marital/family status, occupation, education and income level, job roles, geographical locations, socioeconomic status, related aspirations.
This data will be instrumental when designing your new product Sell Sheet, Explainer Video, content, packaging, price, social media posts, marketing and advertising messages.
Step 3: Study The Competition
Learn from the existing competition’s mistakes and research what they are working on to overcome them…if they are. Read about their initiatives, their market positioning, and pricing, conduct customer surveys to understand their experiences, study their social media profiles and product reviews so that you are well-equipped to provide your customers with a much better alternative.
Step 4: Identify The Type Of Market
Who will be the potential buyers of the product? Individuals and households, companies and organizations, or wholesalers? It is important to take into account whether your product is for personal use, will be a part of another product, or is meant for use in a factory’s daily operations. This strategy will stop you from promoting your products to faceless crowds and help you to segment your target market properly.
Step 5: Why Should Customers Buy From You?
Are you the fastest, the cheapest, the most accessible, provide the best benefits, or the best in class in your product category? What drives them to purchase? These are opportunities that will grab your target market’s attention and give them a reason to choose your product instead of a competitor’s.
Knowing your target audience, if they will benefit from your new product and how to reach them, can help you make better decisions when creating and selling your products.
When you know exactly who you’re going to sell to, you can make strategic decisions to attract their attention and make more sales.
Connect with us on a complimentary strategy call and build your business strategy with BASE Strategies today.