target market Untitled presentation (4).pptx

target market Untitled presentation (4).pptx

1. The Customer Compass: Navigating Target Market, Requirements, and Size

2. Welcome to the Customer Compass Understanding your customers is key to business success. We'll explore how to identify your target market, understand customer requirements, and estimate market size. Think about a product you love. Who do you think is its target market?

3. Defining the Target Market A target market is a specific group of consumers most likely to want your product or service. Segmentation can be based on demographics, psychographics, behavior, or geography. Why is it important to have a well-defined target market?

4. Demographic Segmentation Demographics include age, gender, income, education, and family status. Products often appeal to customers in certain demographic brackets. How might a product for teenagers differ from one for adults?

5. Psychographic Segmentation Psychographics cover lifestyle, personality traits, values, and interests. This helps predict how customers make purchasing decisions. Can you think of a product that appeals to a specific lifestyle?

6. Behavioral Segmentation Behavioral factors include purchasing behavior, user status, and brand interactions. It helps in understanding customer habits and preferences. What are some buying habits you've noticed among your peers?

7. Geographic Segmentation Geographic location, climate, and whether an area is urban or rural can influence consumer needs. Products may be tailored to fit these geographic specifics. Why would a company market differently in a city versus a rural area?

8. Identifying Customer Requirements Customer requirements are the specific features and qualities that consumers seek. These can be identified through surveys, feedback, and market research. What's a feature you look for in your favorite products?

9. Importance of Meeting Customer Needs Meeting customer needs leads to satisfaction, loyalty, and repeat business. It also helps in differentiating your product from competitors. How does a brand gain your loyalty?

10. Market Size Estimation Market size is the total potential sales for a product or service. It's measured by volume (units) or value (revenue). Why is it important for a business to estimate its market size?

11. Calculating Total Addressable Market (TAM) TAM is the total market demand for a product or service. It helps in understanding the growth potential and setting realistic sales targets. How might a company use TAM to plan its future?

12. Serviceable Available Market (SAM) SAM is the segment of TAM targeted by your products and reachable within your distribution channels. It's more focused than TAM and directly applicable to your business. How does SAM differ from TAM in practical terms?

13. Serviceable Obtainable Market (SOM) SOM is the portion of SAM that you can capture. It's influenced by competition, brand strength, and market penetration strategies. What factors might affect a company's ability to increase its SOM?

14. Market Research Techniques Techniques include surveys, interviews, focus groups, and data analysis. Research helps in understanding customer behavior and market trends. What's a market research method you've participated in?

15. Competitive Analysis Analyzing competitors helps in identifying market gaps and opportunities. Tools like SWOT analysis can be used to assess strengths, weaknesses, opportunities, and threats. Can you name a competitor of your favorite brand?

16. Customer Personas Personas are fictional characters representing different user types within a target market. They help in visualizing the ideal customer and tailoring marketing strategies. Imagine a persona for a new gaming app. What would they be like?

17. Value Proposition A value proposition clearly explains how a product solves customers' problems or improves their situation. It communicates the specific benefits of your product. What value does your favorite product offer to you?

18. Product Positioning Positioning is how a product is perceived in the context of competitive alternatives. It involves creating a unique impression in the customer's mind. How is your favorite brand positioned against its competitors?

19. Marketing Mix (The 4 Ps) The 4 Ps are Product, Price, Place, and Promotion. They are used to consider different facets of marketing a product. How might the 4 Ps influence your decision to buy something?

20. Adjusting to Market Changes Markets evolve due to technology, consumer preferences, and economic factors. Businesses must adapt their target market strategies accordingly. What's a recent market change you've noticed, and how have businesses adapted?

21. Conclusion: Aligning with the Customer Aligning with your customer is about understanding and meeting their needs. It requires ongoing research, adaptation, and strategic planning. How will you apply these concepts to better understand customer needs in the future?