In working with countless business owners over the years, I’ve found that there are always holes in their business models, gaps in their business plan and way too little attention paid to the foundation upon which they’re trying to build their business.
This is the second in a series of articles on identifying these missing pieces.
It should be obvious to anyone that knowing your target market is a critical component to a winning business model. But in critiquing business plans and even coaching established businesses, I find it lacking way too often.
It’s been said that if everyone is your prospect then no one is your customer. And yet the answer to the question “What’s your target market?" is all too often, “EVERYONE. Our product or service is needed by everybody.” But the fact is, you simply can’t afford to market to everyone.
The clearer you can get as to who you are trying to market to, the easier it will be to find them, get their attention and win over their patronage.
And it’s a fallacy to think you are eliminating prospects by focusing on a narrower niche. Better an inch wide and a mile deep than an inch deep and a mile wide. If you are selling to women, you might think that you are closing the door on men who might also buy from you. But some men WILL buy from you. And you don’t need EVERYONE anyway.
There are so many reasons to have a clear and well-identified target market that it’s surprising it can be still found lacking.
In The Lifestyle Business System—a complete course on creating a low-cost, no-risk business—we devoted an entire training module to target market and ideal client development. I highly recommend investing in this training, whether you already have a business or desire to start one. Full details on this page . . .
By being able to quickly explain who you are marketing to, you’ll find it infinitely easier to have people give you more referrals: “Joe’s the guy you want to see because he helps left-handed plumbers get the job done." People remember that sort of thing.
What's your target market? Is it clearly defined? Do you know how to find your target market? Do you know how to reach them? Does everyone in your organization understand your target market?
If you want to plug this big and expensive hole in your business, it’s not hard to address. But you have to admit you don’t quite have it down and you need to get it handled. There are lots of resources, but you won’t seek them out without a commitment to having a clear target market.