You don’t know what your buyers want or need unless you ask them.
The above statement sounds a bit obvious, but it’s baffling how many companies completely ignore target market or customer research.
The pushback I get from business owners, founders, CMOs when it’s time to talk to their customers is almost always because they think it’s too much trouble or that it’s too intrusive. They worry asking questions will make their existing customers angry.
I’ve never had a customer or buyer get angry because I asked them questions that were obviously intended to make their experience better.
Your buyers want to hear from you.
Your loyal buyers want you to stay in business.
Your brand evangelists want to feel like they play a part in your success.
You need to talk to your customers and community more – not less!
With the ACTIVATE™ Framework, we set up automated surveys — sometimes with only one question — surveys that nurture your audience of buyers. We interview customers and we send out member surveys to get critical information on your existing buyers and information on the market as a whole.
Conducting a target market analysis is a crucial step in developing a successful marketing strategy.
During this process, you will gather and analyze data to identify the specific group of people who are most likely to be interested in your product or service.
These are the steps you’ll go through to conduct a target market analysis:
Clearly articulate what your product or service is, its features, benefits, and how it solves a problem or fulfills a need for customers.
Identify Your Goals for your target market analysis. Are you looking to increase sales, expand your customer base, or launch a new product?
Collect demographic data like age, gender, income, education, marital status, and location. This information provides a basic understanding of your potential customers.
Divide your target market into segments based on shared characteristics. Common segmentation criteria include demographics, psychographics (interests, hobbies, values), behavior (buying habits, usage patterns), and geographic location.
Study your competitors and their target markets. Identify gaps or areas where you can differentiate yourself and attract a unique audience.
Create surveys or conduct interviews to gather insights directly from your potential customers. Ask about their preferences, pain points, and what they value in a product or service.
Analyze your data to help you understand how potential customers behave in relation to your product or similar products. Analyze buying patterns, triggers, and barriers to purchase.
Research industry trends and changes in consumer behavior that might impact your target market. Stay updated on economic, social, and technological factors.
Develop detailed customer personas that represent your ideal customers. Include information about their demographics, interests, motivations, challenges, and buying behaviors.
Develop a hypothesis about your target market and create marketing strategies tailored to your personas or ideal customers. Implement these strategies and continually monitor their effectiveness. Refine your approach based on the results.
Use tools like Google Analytics, social media insights, and CRM software to track user behavior on your website, engagement on social platforms, and conversions.
Regularly get feedback from your customers and adapt your strategies based on their input. People and markets evolve, and so should your target market analysis.
Once you’ve established a successful strategy for one target market, consider expanding to new segments or markets while maintaining a clear focus on your core audience.
Remember, target market analysis is an ongoing process. As consumer behaviors, preferences, and trends change, you should regularly revisit and update your analysis to ensure your marketing strategies remain effective and relevant.