Understanding Your Target Market
Hey guys, Mostafa Hosseini here, your business and marketing coach. So in one of my previous posts, I talked about the importance of setting up your target market and why you should set it up and what it does for you and the rest of it.
The Key to Success: Identifying Your Target Market
Today, I’m going to share with you a simple tip, that will save you light years of work headache, and it will save you a ton of time in figuring out your target market. And here’s one thing that you could do to figure out your target market. And that is, grab the list of your customers for the past 12 months, and then sort the list by revenue per customer.
The Power of Revenue Per Customer
Okay, so the top guy is going to have the highest revenue, the bottom guy is going to have the lowest revenue, okay, you’re going to notice that 80% of your sales comes from your top 20% of your clients.
So 20% of your clients give you 80% of your sales.
Now, that is the list that you need to study. That’s the list that you need to do your market research on. And that’s the list that is your actual paying, profitable target market.
Digging Deeper: How to Find Your Target Market
Another step that you could take to make this really work for you is that you can calculate the profit per customer, for your top 20% , and you only need to your to do your top 20%.
Because the top 20% gives you 80 or more percent of your sales, or more!
Now you want to know who these people are, how old they are, where they live, what they like, what they don’t like, what are their challenges, what are their fears, what are the frustrations, who they hang out with? The more you know about these people, the better.
Target Market Identification Leads to Effective Marketing
Okay, now, you need to focus your marketing, your advertising, your PR, and everything on that 20% and find more of those people. That is your target market.
Check out our course, simple marketing formula. It’s an online course where we work with business owners to develop a business plan, a marketing plan you can use right away. It is simple.
The Importance of a Marketing Plan
We stick to the essentials, no bells and whistles. We cover the basics of marketing, and things that actually work. If you’re interested in that course, click here to learn about it.
Unlocking Success with a Simple Marketing Plan
In this course, I share the blueprint that we use to develop a simple marketing plan that works and delivers results with positive return on investment.
And it makes life easier for you. This marketing course is for you if you’re not sure what you need to do to take your business to the next level.
Joining Forces to Reach Your Target Market
You work in a group environment with other business owners and you get feedback from them. You work on your business; get referrals, and may very well get business.
We do our elevator pitches to everybody, so hopefully you can get business and referrals from them and have fun while doing it.
Empowering Business Owners through Targeted Strategies
Anyway, hope this as you find this tip useful. Like it share it, leave me a comment at the bottom. Let me know the results that you get.
This simple tip has saved me and many people that I coach and work with, light years of work and frustration.
Have a great day and on my next video I’m going to talk about lead generation.
I look forward to serving and supporting
Have a great day
PS: Download our Simple Marketing Plan Template and start booking appointments today!
FAQs
What is a target market?
A target market is the group of people who are most likely to buy your products or services. It's important to understand them well.
How can I find my target market?
To find your target market, look at your customers' revenue and understand their needs, and frustrations and everything else about them.
Why is knowing my target market important?
Knowing your target market helps you focus your marketing efforts and grow your business. It's like knowing who your best friends are.
What does Revenue Per Customer mean?
Revenue per customer is how much money each customer brings to your business.
What's the benefit of having a target market?
Having a target market helps you sell more and make more money. It's like knowing which games your friends like to play, so you can have fun together.
