I know I have used the expression lots of times in the past “Rather be lucky than good any day”. And considering that there is an expected record in the number of people who played for a chance at last nights $500 million. (Yes, Virginia, that is $.5 billion!)
And I am sure we have heard all the different statistics. The chances of winning the Powerball jackpot are about one in 175.2 million. Yet, you’re more likely to die from a bee string (one in 6.1 million), be struck by lightning (one in 3 million) or have conjoined twins (one in 200,000) or being attacked by a shark (one in 11.5 million).
Even though you may have been betting to win the Powerball jackpot last night, are you betting the odds on your business? Some business owners are acting like they are going to be to be lucky than good. powerball, target market, small business, business planning
Recently, I have had several discussions with people about how to make their business (or themselves) successful in today’s market and economy. It seems like people have forgotten a basic concept that we were all taught back in school about business…know your target market.
The concept of a target market is not a new concept at all. In fact, I feel like it is one of the oldest business concepts out there. The American Market Association defines target market as “the particular segment of a total population on which the retailer focuses its merchandising expertise to satisfy that submarket in order to accomplish its profit objectives.” However, the target market is beyond the retail industry. It is for ALL businesses. By being able to specifically understand who your target market is, you can focus your promotional marketing efforts more effectively and efficiently. Continue reading “Targeting For Business (And Personal) Success” »
I always enjoy the opportunity to spread the word of how market research can help any business. Last Friday, I had the opportunity to do it again.
During the conversation I was having, we started to talk about a restaurant that my friend is currently working with that is trying to figure out what kind of food the restaurant should serve. The discussion quickly turned to the conversation of who lives in the area, in other words the demographic profile of the geographic area. Continue reading “Looking Beyond Demographics” »
Now I am not really a reality show fan. Personally, I do not find a lot of entertainment of people being “stranded” on an island or having to eat bugs to get to the next level. However, I really enjoy Celebrity Apprentice. The mix of celebrities doing business oriented task make it appointment television for me. And every week, someone gets fired. Now granted, with these people, they just go back to their day job of being famous and doing whatever they do.
Unfortunately, for the rest of us losing our job is a much bigger deal in our lives. Most of us know at least one person looking for a new job right now. In the US, over 12,673,000 (8.2%) are currently unemployed and another 7,672,000 who are working part time jobs, but wanting a full time job. Continue reading “How To Use Market Research in the Job Search” »
Businesses need to understand their customers. Now I know this is not an Earth shattering concept. However, a number of businesses do not know who their customers are. And, in turn, they do not understand how to attract their customers. By segmenting your customers, you can learn more about them and how to attract them.
I tell my retail and restaurant clients and potential clients that “birds of a feather tend to buy together.” But in order to grow your customer base, you need to get a good understanding of who your core customers are. To do this, you need to understand not only the demographic components of who your customers are, but also the psychographic components of who your customers. Here are examples of each.
- Marital status
- Age group
- Household size
- Location of residence
- Types of magazines read
- How news is received
- Activities participate in
- Types of vehicles driven
Once you are able to understand your core buyer in both demographic and psychographic components, then you are can start to develop strategies to find more similar potential customers.
How have you segmented your customers?
–J. Nolfo helps companies understand their market and customers though a variety of market research strategies. He has over ten years of experience of market research for strategic planning purposes. He is the Director of Research at Rhino Market Research. He shares his thoughts about market research and business concepts with his blog “Pensare…Understanding Market Research in Business“. If you would like to discuss this blog or how J. can help you understand your market and customer needs, email him at firstname.lastname@example.org.
Whether you like it or not, everyone is not your target market.
This is true even if you sell something everyone needs, like water, clothing or food. If you think everyone is your target market, we need to talk.
Now this does not mean that you will turn away a customer that is outside of your target market who happens to walk through your doors and hands over their business to you. However, by targeting your customer, you are focusing your time, efforts, and your marketing dollars in a way that is most effective and efficient to grow your business.
The best example I use is McDonald’s and Hardee’s. For both of them, especially Hardee’s, their primary target market is 18-25 year old men. Because they know that a large percentage of their customers fall into this category, a large percentage of their advertising is directed at them. However, if a 35-year-old “Soccer mom” appears in the drive-thru at the local Hardee’s, the order taker is not going to tell her to move on.
Have you defined your target market in a broad sense? If you have, you may want to reevaluate it based on your best customers.
–J. Nolfo helps companies understand their customers though a variety of market research strategies. He has over ten years of experience of market research for strategic planning purposes. He is the Director of Research at Rhino Market Research. He shares his thoughts about market research and business concepts with his blog “Pensare…Understanding Market Research in Business“. If you would like to discuss this blog or how J. can help you understand your customers, email him at email@example.com.