Target Marketing Strategy to Watch Your Business Grow

Marketing is an important function that plays a vital role in the running of the business. If the product is not marketed in the right manner and fails to reach the end customer, the business will fail. This is why, marketing strategies play crucial roles. While marketing a product, the company has to decide a target market. Target market is nothing but that specific set of audience to whom the product manufactured is meant to cater to. Target market is more like dividing the vast sea of customers into smaller segments and using the 4Ps of marketing (Product, Price, Place and Promotion) on this segment effectively to achieve maximum sales and profits. Target marketing strategy helps tap that subset of the customer population that are most likely to purchase and use the product.

How to Identify a Target Market
The whole concept of target marketing stems down from the fact that we cannot please everybody! Target market, unlike mass marketing does not dole out a single product to the entire market. Instead it marks out a specific range of people to whom the product must be effectively marketed to. As a marketing professional one needs to identify the target market correctly and tap as much profit as possible. To identify the target market one will have to look at the product being manufactured and sold. Ask a few questions:

▲What does this product do?
▲ Who is it helpful to?
▲ Which regions of the world will accept this product?

How to Divide the Market into Segments
To target a particular sector, the entire market has to be first divided based on different criteria. This can be done in the following ways:

Demographic Segmentation: This segment involves categorization of customers based on factors such as age, income, family size, gender, education, nationality, race, etc.

Geographical Segmentation: As we already read above, segmentation based on the region is important while dealing with specific products like desert coolers, fur coats, blankets, snow boots, raincoats, etc., the climatic conditions will determine one’s target area.

Behavioral Segmentation: This form of segmentation clubs factors like brand loyalty and value of quality. For example, several IT companies market their products specifically to customers loyal to their products. Then again, certain companies target their high scale products to people who cherish, value and are ready to shell out extra cash for valuable pieces.

Psychographic Segmentation: This type of categorization involves clubbing of people’s interests, lifestyles and personalities.

Technographic Segmentation:This type of segmentation differentiates people based on technology they use. With technology becoming such an ingrained part of our lives, technographic segmentation becomes all the more important.

These five types of segmentation are only the broader approach to slicing a market into segments. Even when you consider demographically, within it, one will again have to segment the market. Most marketers use a combination of these kinds of segmentation to narrow down on the most effective target market.