Target market and customers business plan

Who will buy your product? Assumptions like this can lead to wrong decisions, wrong pricing, wrong marketing strategy — and ultimately, business failure. The most successful small businesses understand that only a limited number of people will buy their product or service. You, too, can build a better, stronger business, by identifying and serving a particular customer group — your target market.

Target market and customers business plan

After all, you want to be sure that customers are taking advantage of your products or services; but they have to know about what you offer before they can buy it. There is a distinct difference, however, between your target customer and your target market.

One is a bit more broad than the other, so it helps to understand the difference when making your marketing plans. Target Market A target market is a more broad group of potential customers defined by ranges. For example, for your business, a target market might be ages 18 to 34, or a certain income bracket.

This is the group that's most likely to purchase the product your business has to offer. The target market may need to be broken down to a specific target customer should you decide to customize your marketing efforts. Target Customer Your target customer is the person you've identified as most likely to purchase your products, according to Entrepreneur.

This is a much more segmented portion of your target market, as you've identified certain aspects of this individual. These components might include a specific age instead of a range, a specific income level versus a large swath of income types, and the reasons these customers are most likely to purchase your products.

Methods Your chosen methods of marketing may sometimes overlap in trying to reach out to your target market versus your target customer.

Target Market vs. Target Customer | nationwidesecretarial.com

For example, if direct mail is one of your main marketing methods, then by targeting a certain zip code in your city, you're sending a mailer to your target customer in each home you reach, but also to your target market in terms of the demographics of the area you've chosen for your mailings.

However, in some instances, your marketing methods may differ between the two. For example, you might offer special email discounts to your target customers, if you've captured specific information on individuals.

However, you wouldn't send out special offer to your target audience overall, because of the broad nature of this group.

Considerations In the end, your marketing plan should cover both targets -- the market and customer. The more broad your reach in your marketing efforts, the more likely that you'll draw enough potential customers to take advantage of your services.

Moreover, the more diverse your marketing efforts, the more you can raise your level of visibility as a business. After all, while you have a target audience, increased visibility means you may reach those outside of that market as well.

Who is your target customer? About the Author Lynda Moultry Belcher is a writer, editor and public relations professional.

She worked for a daily newspaper for 10 years and has been a freelance writer for more than 15 years.

She has contributed to Divorce and Revolution Health Group, among other publications.Defining a target market will not limit your business. you do research to learn more about your market, such as what your target customers' buying habits are, what your competition is doing, or whether there are important industry trends.

Learning about your market and adjusting your business plan accordingly is an ongoing process. The market segmentation concept is crucial to market assessment and market strategy.

Real Business Advice!

Segment the Target Market in Your Business Plan. your first basic market analysis worksheet for. Sample Online Business Plan. Your Business Name Here.

can build a better, stronger business, by identifying and serving a particular customer group – your target market. One of the first things you need to do is to refine your product or service so that you are NOT trying to be ‘all things to all people.’ you might even be able to.

Target Market | Sample Online Business Plan

The target market is the type of customers you target within the market. For example if you are selling jewellery you can either be a generalist or decide to focus on the high end or the lower end of the market.

Define a Target Market in Your Business Plan. To define a target market for your business plan, you should research the potential buying audience for your product. This could range from millions of people if you are starting an online business, to a few thousand individuals if .

target market and customers business plan

To define a target market for your business plan, you should research the potential buying audience for your product. This could range from millions of people if you are starting an online business, to a few thousand individuals if you are opening a retail store in a small town.

Define a Target Market in Your Business Plan | nationwidesecretarial.com