You have the perfect product or service that you know everyone needs, but sales just aren’t were they should be. Chances are you don’t really know who your customers are. When bringing a new product or service to the market, or attempting to expand your market share, you need to carefully consider a deluge of demographic data to ensure profitability.
Really knowing your customers is the first, and probably the most important, step in moving towards profitability. Consider who will benefit from your product or service. Everyone right? Unfortunately, not every demographic responds to the same marketing tactics. You need to consider age, nationality, socio-economic status, and lifestyle among other factors when selecting marketing strategies and markets for your product or service.
For example, if you are providing a niche product or service geared toward upper-middle class property owners who are educated and interested in healthy lifestyles, your packaging and advertising need to reflect the images and values they associate with. You will also want to ensure product placement in specific areas of town, on websites, and in the appropriate retail establishments. This may seem like Marketing 101, but countless vendors have lost profits because they didn’t brand their product or service for the market they were catering to.
You will also need to realize that just because they desire a certain product or service, does not mean they need it or are able to purchase it. In the current economic climate, most customers do not have the disposable income they used to and are putting off purchases that may be considered a luxury or not an immediate necessity. Really knowing your customers allows you to market your product or service in a way that makes them consider it a need (or a want that they can’t do without). There are several marketing techniques, but selecting the right one is based on who you are trying to reach.
Younger customers or customers who are traditionally focused on having the “latest and greatest” will generally respond to techniques that make them feel like they are “living the dream” and are like someone they idolize. Gearing your product or service to a working class or middle class? You need to alter your marketing. Consider expressing value and convenience over appearing elite. By really knowing your customers, you can sell the same product or service to multiple demographics by simply changing labeling and advertising. While this may seem tedious and costly, it really ends up creating more profit in the long run. It allows vendors to target markets and limit costs by producing product and advertising in smaller batches and for specific markets.
You know they need your product or service, but do they?