Target Market: What It Is, Types And Examples
Target Market : Currently there are few products that have as their sole objective to attract as many consumers as possible. This is because target market segmentation facilitates decision-making and the development of personalized messages for the consumers a company seeks to satisfy.
It is important that companies find their target market so that their marketing strategies enjoy greater accuracy and effectiveness. In addition, it helps to consolidate optimal messages with which a target audience can feel identified. Therefore, here we will see everything about the target market, what its relevance is and how your brand can detect theirs.
What Is A Target Market?
A target market is a group of people or consumers identified by a company with similar characteristics that make them potential customers for your products or services. According to its needs, a brand makes relevant decisions to market.
A target market can be defined by various qualities in common, for example: age, lifestyle, preferences, location, interests, among others. Knowing customers helps create messages that target only those who are willing to pay for the product or service being offered. It is a more effective and economical way to reach customers and generate profits.
Why should a target market be defined?
Part of the success of marketing a product or service is knowing who it will attract and who is most likely to buy it. This, therefore, allows the customer base to grow and be fed with marketing strategies.
Therefore, identifying and understanding customers is an essential part of the commercial and marketing plan of any brand. It is important to understand that not every person in the world is a potential buyer of a specific product or service. Therefore, companies need to have a clear understanding of their target market from the start.
This allows them to know more easily where their consumers are, what communication channels they use, what their buying habits are and how to adapt marketing messages to encourage them to purchase.
4 Types Of Target Market
There are 4 types of target market from which the other subcategories that may exist are derived, with the purpose of defining the group of people to which a company is going to target. These are as follows:
The target market demographic focuses on determining who the customer is. This segment can refer to both a B2C and B2B market; it is important to make a difference to detail qualities of such consumers correctly.
If we refer to a B2B market, the most important thing is to know the type of industry and the size of the company. To know a B2C market you must find out aspects such as age, gender, lifestyle, educational level, among others.
This is the most common type of market, as companies use it to know what the target audience is for their product or service. It is useful because it represents one of the keys to understanding what customers need.
This type of target market allows you to divide an audience by its location; the segments that are usually used are region, country, continent, district or city. This way of segmenting the market is very useful especially for international companies, because the location of their customers can influence their purchases.
This type of market seeks to divide the audience by their behavior when buying; takes into account purchasing patterns, history, knowledge of the product or company and product rating.
Unlike other ways of segmenting a market, this one tries to separate the audience by their personalities; includes characteristics such as lifestyle, attitudes, interests, and values. It should be considered at least one aspect, so as not to lose perspective of where and to whom a company should go.
It is a bit complex to get this information, because someone’s personality can be completely subjective, but, if achieved, the results can be really functional.
Also Read : Startup Strategy