An essential part of succeeding with your online business is researching and defining your target market. Once you understand who your target audience is you can implement your target marketing strategies. This gives your market exactly what it's looking for.
One of the biggest challenges faced by online business owners is defining a “target market.”
In this post I'll set out what you need to do to find a hungry market, give you a target audience example and how you can begin your target market strategy.
Target Audience Example
A good target audience example is in the American gold rush.
Many gold miners rushed out the mines to pan for gold hoping to make their fortunes. Many of them made very little, while the fortunes were made by those who did a little market research without even getting their hands wet…
The fortunes were made by the suppliers of the pans, shovels and other tools and supplies needed by the gold miners. A target market was identified, the suppliers solved a problem, and the suppliers got rich as a result.
How To Find A Target Market With Testing
Testing is an effective method to find a target market. Remember, you're looking for people who want solutions to their problems, that fit your business goals.
If you own a blog, taking the time to profile who your visitors are and identifying the most popular posts will begin to form a pattern. This patters can help you identify your target market and what they want to know about, revealing their pain points.
Webinars can be an excellent way to test a target market if you sell a product that hasn't yet been created. Don't make the mistake of taking the time to develop a product before you identify your target market. Instead, sell a product, develop the audience then develop the product.
Do You Remember Ratners..?
If you're from the UK you remember a jewellery chain by the name of Ratners. The owner of the company Gerald Ratner crashed his successful business overnight by suggesting that his products were well-priced because it was all rubbish!
Some years later Ratner thought there would be a gap in the market for an exclusive gym. Given that he had little money and the banks saw him as a risk, he decided to test the market in a similar way to the webinar example above. Ratner pre-lauched the new gym and sold memberships before the gym was even built, raising £800,000 in pre-memberships. Following this the gym was built, and Ratner recently sold the gym for £4.2m
You can read one of my own stories about developing a target market in this article here.
Facebook ads are an excellent way to test your market and identify target audiences. The trouble with new online business owners is that they expect results with their initial Facebook campaigns, without really identifying their target audience first.
By setting up multiple ads to the same campaign with a different target demographic, you can quickly identify a responsive market using Facebook Ads.
To Succeed Online just offer the best product to people who want to buy it. Click To Tweet
Your Ideal Target Market – Target Audience Demographics
Before you decide on the products or services you're going to sell, think about your target audience demographics.
If you have a business plan to make $100,000 in 12 months then you need to consider if your audience demographics have the following characteristics:
- A disposable income to afford your products
- Credit cards to buy via the Internet
- A need or pain point to buy your products
- Are accessible with your current marketing methods
- A history of buying similar products
You will be amazed at the amount of people who never give much consideration to identifying their target audience. Often they try to sell high-priced products to people with no money, or produce a product first, then try to find people to sell it to second.
Once you have decided on your ideal target audience, you need to further define your customer.
Target Market Analysis Example
To further define your target market you need to know what your market needs and wants. Therefore you as a business owner and solution provider should be part of that market.
If we look at a target market analysis example, what is the common interest or concern that they all share? How old are they? What is their education? Disposable income? Where can they be found? What do they do for a living?
Here is a definition of one of my target market analysis example:
- Common Interest/Concern: Not having enough money for retirement
- Interest: Researching developing an online business
- Common Concerns: Not enough knowledge to go-it alone online
- Age: 45+
- Education: Minimum College educated
- Income: Large disposable income with assets
- Buying Ability: Have credit cards with reserves
- Lifestyle: Married with children
- Lifestyle Goal: To retire financially secure
Finding the information on your target audience takes some effort on your part. Connect with your audience on social media reach out to them to discover what their common interests and concerns are. Look at the comments on discussion forums, publications and trending issues.
Once you have further defined your target audience, you will be in a strong position to sell the right product to them. At this point you can begin your target marketing by selling products and services that solves a common problem.
The principles of business and succeeding with your online business is simple. Offer the best product to people who want to buy it.
Take the time to carry out proper research to identify your target audience. Don't be too quick to assume a market, or in a rush to get your products online like so many people do.
Conduct proper research, keep your ear to the ground and your online business will see handsome rewards for years to come.
“Helping You Build Your 6 Figure Internet Business”
P.S. I know that one of the biggest pain points for a lot of Online Business owners is developing Leads and Conversions for your business. Once you master that, you can be the provider of the shovels and pans and the provider of solutions. Click here to learn more
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