Target Market

- A specific group of consumers

at
which a company aims its
products and services
 TARGET
MARKET

AKA MARKET SEGMENTATION

 WHY IS
DETERMINING
TARGET MARKET
IMPORTANT?
The better a company is at identifying their
potential consumers; the more successful
they will be in delivering products and services
that are in demand
Your target
consumers are
those who are most
likely to buy from
you
Focusing on a target market makes
it easier to develop products
people want
WHO IS THE
TARGET
MARKET?
 HOW DO YOU
DETERMINE WHO YOUR
TARGET MARKET IS?
ASK THESE QUESTIONS
Is your product international,
national, or local in scope?
Are your target consumers
male or female?
How old are they?
Are you target consumers
single,married, or divorced ?
What level of education has your
target consumers completed: high
school, college, or university?
Where do they live?
What do they do for a living?
How much money do they make? This
is most significant if you're selling
relatively expensive or luxury items.
What is there lifestyle like:
conservative, exciting,
trendy, economical?
Are your target consumers
easily led or opinionated?
What are your target consumers
activities and interests: sports,
physical fitness, shopping, books?
What other aspects of
their lives matter?
What are the Three
Basic Reasons Why
People Buy Things?
To satisfy basic needs
To solve problems
To make themselves
feel good
How do you start to
determine your
target market?
Creating the target market
may require the use of limited
product roll-outs and focus
groups, allowing product
managers to get a feel for
which aspects of the
product are the strongest
What is a Roll Out?
Roll Out
- The process of introducing a
new product or service into the
marketplace
What is a Focus Group?
Focus Group
- A small group selected from a wider
population and sampled, as by open
discussion, for its members' opinions
about or emotional response to a
particular subject or area, used
especially in market research or
political analysis
Does your product meet
consumers’ needs?
No single product can meet
everyone’s needs

More than 30 different

varieties/flavors
Not all products and services are
meant for all types of consumers
Resist the temptation to be too general in
the hopes of getting a larger slice of the
market
 That’s like throwing darts in 10
different directions instead of aiming
just one dead center of the mark
What is the importance
of determining a target
market?
The beauty of target marketing is
that it makes the promotion,
pricing and distribution of your
products and/or services easier
and more cost-effective