A target market is a group of customers towards which a business has decided to aim its marketing efforts and ultimately its merchandise. A well-defined target market is the first element to a marketing strategy. The marketing mix variables of product, place (distribution), promotion and price are the four elements of a marketing mix strategy that determine the success of a product in the marketplace.
Types of target markets
Now that we addressed what is a target market on a high-level, it’s useful to also understand the different factors that can be used to define a target market within your context.
There are mainly 5 types of target market factors:
- Geographic segmentations – addresses (their location climate region)
- Demographic/socioeconomic segmentation – (gender, age, income, occupation, education, household size, and stage in the family life cycle)
- Psychographic segmentation – (similar attitudes, values, and lifestyles)
- Behavioral segmentation – (occasions, degree of loyalty)
- Product-related segmentation – (relationship to a product)
Knowing what is a target market is easy, the tricky part is knowing how to identify your target market.What is a target market by BigBalli