How Targeting your market Creates Sustainable Business Success
By Mark Munday
It is often said that you just canít be everything to to everyone. This is especially true in business. The worst thing business owners can do is to delude themselves into thinking that everyone is in their buying audience.
Trying to satisfy everyones requirements for your products or services is a really big ask. And it is a thankless task too. You run the risk of being only moderately successful at keeping all your customers happy. This means that customer satisfaction, on average, probably wonít be high enough to bring you lots of referrals and repeat business. And your business will be only moderately successful.
As a small business owner, you will do far better if you focus the delivery of your offering on satisfying the needs of a very specific subset of the market. Because your niche market has well defined needs, it is easier to satisfy them. And your selected customers are like to be a lot more pleased with your services.
You make a much bigger splash by jumping up and down in a puddle, than when you bob up and down in the sea. Similarly, focusing on a niche target market means that you have a much greater impact on the customers you serve. Customer satisfaction soars, and your reputation as a specialist grows as customers pass the word around.
The need for a well defined market niche increases dramatically as markets become more competitive. Having a market niche enables you to differentiate yourself from competitors. And it provides you with a steady stream of business, even in the most crowded, fiercely competitive market.
Letís consider an example. Imagine that you are an ex-accountant, and that you have decided to cash in on the booming internet business market. So, you buy some equipment and software, and you set yourself up to provide website hosting services.
The market for this service is enormous. Millions of new websites are created every year. And the rate of growth is skyrocketing. But you are dismayed to find that attracting any of this business is almost impossible for a small newcomer like you. There are so many people out there doing the same thing at cutthroat prices, that you just canít get your business off the ground.
Imagine how different your experience might have been if you only offered this service to accountants, together with a suite of tools accountants require for servicing their clients over the internet. As an ex-accountant, you would understand the needs of your target market very well. So you could put together a compelling service offering. You would also have the credibility it takes to inspire confidence in prospective clients.
Your specialisation would give all accountants out there who want to get on the net, a really good reason to do business with you. The size of this target market would be a small fraction of all the people creating websites. But your ability to to penetrate this niche market would be infinitely greater. As a specialist, you are also able to charge more for your products and services. Which means that you donít have to compete on price.
Dominating a niche market means that you are well placed to build a compelling competitive advantage. One that brings you sustainable business success in a highly competitive market.
Applying this principle is likely to make any business more successful. You can base a market niche on various criteria : your location, profile of your customers, industry knowledge, people you know etc.
Think of how you can add value for your customers in a way that no one else is doing it. And use this as your starting point. Your objective should be to create and take ownership of of a market niche, in a way that makes your position virtually un-assailable.
As a Business Strategist and Coach, Mark works with business owners to help them achieve their business goals. His powerful strategic planning and implementation techniques produce stunning results for clients.
Mark has just released a unique and revolutionary system for building your business into what you really want it to become.