Essay: Analyzing the Target Market
It is after understanding the kind of customers that you will be dealing with, that it will be possible to develop a product that will suit the interests of the target market. When identifying the target market a few things ought to be analyzed. These may include the number of customers available and their spending powers. It would be unwise to target a small portion of the population, which a low purchasing power. If the target market is of the low-income earner, then it is important to understand that there has to be very many people who will be buying your product.
If it is a business-to-business product, then the targeted market could be comprised of a few customers since they will be able to buy your product in large numbers and thus the business will be viable. From the demographics of the area you are planning to be selling your product it is possible to come up with a definite number of the customers who will most likely be interested in your product and as a result be in a position to ascertain whether the product will bring positive results. If the target market is not able to sustain your business then it is important to redesign it again in order to target another subset of the target market. (Brun, Hutt, & Mannhardt 2009)
Developing a product without first understanding the needs of the customers is like blinking in the dark since most likely very few customers will be in a position to buy your product. If a product is designed to be an all peoples product then it will be very difficult to beat the competitors in the market. With cleverly thought segmentation and targeting it is possible to run a business which has few clients but at the same time in a position to run the business successfully. Understanding the needs of the customer and trying as much as possible to satisfy those needs through your product is the backbone of any successful business.