Customers are the most important people for your business, and that is the major reason you need to understand your customers to know what to market to them and convince them to buy from you. Not all customers are potential buyers; some will not patronise you, but they can do PR for your business, and nothing beats free PR.
Target market helps you understand your customers to know who you are selling your product to and what your customers stand to gain if they patronize your business.
What Is Target Market Analysis?
A target market analysis is an assessment of how well the public will accept your products and services and where they will gain the most and most minor traction.
To reach a demographic for your products, you need to analyse a target market by targeting potential customers based on their lifestyle, age, location, and income.
Similarly, you need to determine the market factors like size, buying potential of the customers, what motivates the customers to buy and the size of the market.
From the definition above, we can conclude that your target market is the potential customers you intend to sell your products to.
How To Identify Your Target Market
Identifying your target market isn’t rocket science; all you need do is conduct proper market research on your potential customers to know them better. The answers you get from your market research will help you get into your customers’ thoughts and know-how to serve them better.
Market research varies in all business spheres; for real estate, the standard way of conducting market research where you ask salient questions seems obsolete due to the emergence of big data that gives insight into different apartment market surveys.
An apartment market survey, such as estimating the price of a property by comparing similar ones that have been sold in the same neighborhood, is one of the popular methods used by realtors to conduct their target market research.
After doing your due diligence with your market research, you can then direct your answers to where they matter—you can start targeting the newly wedded men if your research says they need a new apartment more than the married men.
Study Your Competitors
Competition can make or mar your business. You need to study the loopholes when you notice your business isn’t doing too well. Study your competition to know how they market and reach your ideal customers; if they offer more realistic prices for their apartments, you might want to reduce your price to lure customers to your business.
Also, if it is how they treat customers, many realtors don’t attend to their customers properly. Sometimes, discussing business over the phone is a deal-breaker; you need to go physical and take prospective customers to the location of the property they want and not send videos or pictures of the property.
To demonstrate these benefits, you need to use an infographic to showcase how your business is thriving amongst competitors. Additionally, you should include features in your service or products that make your business outstanding; this will make you focus on the customers you should be targeting.
Create Market Segment
Reaching a thousand customers is easy if you know the basics of advertising, but the goal of an advert is to convert potential customers to buyers. To achieve this, you need to create a market segment to promote a product to that segment and rest assured that you will make sales.
For instance, if newly married men are interested in renting a three-bedroom flat for their small family, you can create a segment for the newly married men only to project the vacant property to them only. This will save you the time you use in convincing others who are not your target market.
Make Projections For Your Market
Projections consider the lifestyle of your customers, their ages, and preferences. It will help you determine what may work and what may not work when marketing your product.
If you’re trying to market a property where there is no school, grocery stores, or mall nearby to a family with children, then your projection will help you determine if it will work or not.
Customers are undoubtedly underrated; the pandemic showed the world the importance of customers where businesses were packing up due to lack of customers. So, it is important to target your customers hence the need to identify your target market.
Identifying your target market involves conducting market research to find out what the customer wants and narrowing down to market projections to determine what may or may not work in the market.