As a new business owner, you may think that marketing your products and services to everyone will lead to more sales and success. However, your marketing strategy needs to target the correct audiences and demographics to translate to business growth. Learn how to refine your small business’s target market and speak to the people who need your products and services the most!
Conduct Market Research
Take advantage of analytics and research to identify the groups that will benefit the most from your business’s offerings. You can purchase existing market research from firms who make full-time work out of identifying target demographics. You can also do your own research by conducting surveys or focus groups. Encourage your marketing team to use analytics software to mine data and see which demographics react positively to businesses like yours.
Marketing is an essential element of a successful business. If you’re using 401(k) small business financing to fund your business, set enough of those funds aside to create a strong marketing strategy that will serve you well for years.
Segment Your Target Market
Once you’ve identified a broad audience that’s interested in your products or services, divide that audience into segments based on the needs of each demographic.
For example, if you operate a landscaping company, your broader audience may be property owners with landscaping needs. Separate that audience into homeowners, commercial property owners, schools, and park districts. Each segment will have unique needs. This strategy will help you serve those needs appropriately and garner satisfied customers.
Don’t Be Afraid of Niche Markets
An old marketers’ adage states that 20 percent of buyers will consume 80 percent of your products and services. If you happen upon a specific demographic of consumers who love businesses like yours, don’t hesitate to lean further into that niche.
Let’s say you sell beauty products online and start with a small selection of vegan products. If your market research shows that vegan beauty enthusiasts enjoy your offerings, expand them further for more sales!
As you lay the foundation for your small business, put plenty of effort and funding into refining your target market. Locating an audience of interested consumers will help your business grow more quickly into a mainstay of your community.
Are you wondering about the financing options available to you as a new business owner? Head over to Pango Financial’s funding solutions tool to learn more about funding your venture.