Solid sales is the objective of any SME whether it is a start-up or an existing operation. Many factors play a role in driving sales, but the crucial ones are product , price , place and promotion. These  factors help define your target market and focus all of your marketing and sales activities.

Your efforts are wasted if you are unable to define your target market.  It is crucial to driving sales and  once you know who your market is the other marketing activities fall into place. Your target market or niche market consists of customers who are happy to buy products that that you market because your value proposition satisfies their needs at a reasonable price.

Small business owners you shouldn’t fear competition from larger  corporates as they market  products and services across a considering a wider market  spectrum. As a SME you are able to identify and target profitable niche markets that fall under the radar of the larger corporate firms.

Understanding  your target market and their needs requires in depth market knowledge , which you are able to obtain from market research as well as  from being a player in the market.  Knowing your target market can be a key competitive factor and enables you to market products more effectively than competitors who are operating blindly.

Utilising this knowledge enables you to segment your target market more effectively. Market segmentation needs to be conducted in a manner that is consistent with your overall marketing objectives and marketing plan. You can segment your market according to age , gender , firm size , region  LSM groupings etc.

Once you have identified your target market and segmented the market you will be able to develop a value proposition that you can successfully present to your target market and generate sales. You should also develop knowledge of competitors and how their products and services meets the kneeds of your target market. It is important to not knock your competitors value proposition as this likely backfire on you. Instead focus on you value proposition and how it satisfies the needs of your target market.

The advent of the internet has made it easier to target niche markets that weren’t previously available to marketers. Using search engines and pay per click advertising marketers are able to target specific search phrases and buying keywords. Online marketing is lucrative channel to exploit , but requires extensive knowledge so you should consider using the services of a reputable online marketer.

Once you have identified your target market and know who you customers are , you are able to develop  marketing channels like direct marketing , online marketing or retail outlets to service those markets and generate profitable sales for your business.

This is an ongoing process and requires constant attention , the demographics of your target market are constantly changing and you need  to adapt your marketing efforts to change with the market. This requires constant effort and you obtain market information by attanding relevant trade shows , marketing conference and seminars , reading industry related journal and most importantly by talking to your customers.

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