When starting a business, one of the most important decisions you make is who your intended audience is. You cannot meet the needs of everyone, so you need to focus on a specific group of people. In this article, we will discuss what your intended audience is, how you can identify your targeted group of audiences and other related aspects.
What Is an Intended Audience or Target Audience?
Your intended audience is the group of people you want to reach with your product or service. This could be a specific age group, gender, geographic location, or interests. When you are clear about your target audience, you can better tailor your marketing efforts to reach them.
For example, the intended audience of a restaurant can be families with young children. This would help the restaurant decide what type of food to serve, what hours to be open, and even what kind of décor to have.
What is STP?
In marketing, STP stands for Segmenting, Targeting, and positioning.
Segmentation is dividing the market into groups based on specific characteristics. This can be done using demographics, Psychographics, the benefit sought, occasion, or even user status.
For example, you can segment the target market based on the critical criteria for your business. For a luxurious brand, the first segmentation can be found on the consumer’s income. The first segmentation can be based on the type of food the consumers prefer in the given location for a restaurant.
After initial segmentation, you can further segment based on other criteria such as age, gender, personality traits, use of related products, etc.
Targeting is choosing which segment you want to focus your efforts on. This is usually done by looking at factors like which part is most likely to buy your product, which segment is the most profitable, or even which segment you can best serve.
For example, you have segmented the market for a restaurant based on food type, age, and income. After evaluating each segment, you have decided to focus your efforts on families with young children who prefer Italian food.
Positioning is creating a unique selling proposition for your target market. This is done by differentiating your product from your competitors and highlighting the benefits that your target market will care about.
For example, you want to position your restaurant as the only Italian restaurant catering to families with young children. To do this, you might highlight your kid-friendly menu and décor and your experience in catering to this type of customer.
Benefits of Targeting a Specific Audience
There are many benefits to targeting a specific audience for your business.
- Save money by not marketing to people who are unlikely to buy your product.
- Create a more targeted and effective marketing campaign.
- Build relationships with the intended audience, which leads to increased sales.
- Gain the trust of potential customers.
- Boosts your brand image and reputation.
How to Identify Your Audience
If you are new in the industry, you might be wondering how to identify your audience. There are different methods you can use to determine your intended audience.
- One way is to look at your existing customer base and segment them based on the criteria we discussed earlier.
- Another way is to look at your competitors and see who they target. You can also use market research tools like surveys or focus groups on getting feedback from potential customers.
- Once you have an idea of who your target market is, you can start to tailor your marketing efforts to reach them.
- You can also use market research on your industry. Universities and market research companies might have more insights that you can explore.
- If you are going for a significant investment, you can invest in market research for your target products to prepare proper plan before investing in anything else. Make the study well planned and well executed by any professional researcher. Such analysis can cover more than just the target market identification.
- If you have existing products or services in a related industry, you can survey your current customers to find what would complement your existing offering. Please remember customers do not know what they want. So, you need to be careful in designing your questions.
- You can analyze your customers’ interests, behavior, or in-market segmentation, suggested by analytics tools like Google Analytics.
Groups of Intended Audience
Once you have segmented and selected a group of audiences, is it reasonable to start production and marketing? No, it doesn’t.
Based on your segmentation, several potential targeted groups might be suitable for your business. In that case, you need to prioritize your intended audience.
The primary audience is the group of people that are most important to your business. They are the ones that are most likely to buy your product or use your service.
This group is not as important as the primary audience, but they might still be interested in your product or service.
This group is least significant, and they are less likely to be interested in your product or service.
Examples of a Target Audience
You need to prioritize these groups based on budget, reach, and impact. After that, you can start planning your marketing efforts to target each group.
For example, the segmentation of restaurants can be:
Type of Food: Italian, Chinese, Indian, Thai
Price: Low, Mid, High
Location: Urban, Suburban, Rural
Audience: Families with young children, Business people, Retirees
Based on your organization’s strengths and weaknesses, now you can prioritize your targeted groups.
The primary audience of your restaurant: high-income people living in urban areas and running their businesses who love Italian food.
Your secondary audience can be mid-income people living in suburban areas having young children in the family where at least one person of the family loves Italian food.
Finally, the tertiary audience can be the business people of the rural areas who need to visit urban areas, having mid-income.
Why You Should Select A Small Audience?
Whatever your segmentation approach is and how many segments you select as your intended audience, you should not compromise on the size of your targeted group of people.
For example, if your restaurant can serve at most 5 kilometers around your location, you can get an idea of how many people live in that targeted geo-location. Say the number is 50,000 people. Your segmentation and targeting should not cover all those 50,000 or a more significant part of your total population.
So, the selected sub-set of the target audience can be 5,000 people who meet your criteria of the primary audience.
Sometimes, the tools can count the same audience twice to come up with a larger number than the total population for one of your targeting criteria.
For example, you sell women’s dresses and run ads on Facebook to promote your business. When you are selecting your intended audience, you have chosen both the women who are interested in women’s dress and interested in e-commerce. The suggested audience size will be larger than the possible number of women in your geo-location as you haven’t set the geo-location criteria.
So, always check back with facts and data from different sources before settling on your intended audience.
Understand Your Targeted Group
Now that you know how to segment and target your intended audience, it’s time to understand them better.
You can do this by creating buyer personas. A buyer persona is a fictional representation of your ideal customer based on market research and actual data about your existing customers.
Creating a buyer persona will help you understand your target audience better and make it easier to create targeted content.
To create a buyer persona, you need to gather data about your target audience. You can do this through surveys, interviews, and customer data. Once you have this data, you can start creating your buyer persona.
Your buyer persona should include:
- Demographic information like age, gender, location, job title, and income
- Psychographic information like values, interests, and lifestyle
- Behavioral information like the type of product they are looking for, the price range they are willing to pay, and where they typically shop
- Goals and challenges
Once you have created your buyer persona, you can use it to create targeted content that will speak to your target audience.
Creating targeted content is one of the most effective ways to reach your target audience and convert them into customers.
To create targeted content, you need to understand what kind of content your target audience wants. You can do this by surveying your target audience or looking at the type of content they engage with on social media and other websites.
Once you understand what kind of content your target audience wants, you can create targeted blog posts, ebooks, infographics, and more that will speak to their needs.
Answers to Related Questions
Target audiences work by segmenting a larger group of people into smaller groups with similar characteristics. This allows businesses to focus their marketing efforts on a specific group of people more likely to convert into customers.
While there are many benefits to targeting a specific audience, there are also some criticisms that you should be aware of.
One criticism is that you might miss out on potential customers who don’t fit your target audience. For example, if you’re only targeting women, you might miss out on potential male customers.
Another criticism is that you might alienate potential customers if your content is too focused on your target audience. For example, you might alienate potential male customers if you’re only targeting women.
The best way to avoid these criticisms is to create targeted content that appeals to a wide range of people. This way, you can reach your target audience without alienating potential customers.
Businesses need to segment their market and target a specific group of people to be successful. By understanding your target audience and creating targeted content, you can reach your target audience and convert them into customers. Thanks for reading!