Title: Why Is Identifying the Target Market so Important to a Company? | Small Business - Chron.com
Headings: Why Is Identifying the Target Market so Important to a Company?
Why Is Identifying the Target Market so Important to a Company?
Determining Your Target Market
Craft Specific Messages
Focus on Potential
Reach the Right Audience
Identify an Under-served Market
Cost-effective Strategies

Content: This strategy is sometimes skewed however. When it comes to toys, kids are the big end users, so it might be more effective to market directly to them. Even though it is their parents who buy the toys, kids are big influencers of how their parents spend money in this area. Messages marketed to kids can drive them to persuade their parents to make purchases on their behalf. Identify an Under-served Market
Businesses of any size can compete effectively by identifying under-served markets. Rather than trying to reach every customer who could use your product, focusing a marketing plan to fit a smaller and possibly unreached part of the total market can allow you to carve out a niche for your product. By focusing resources on a specific customer segment, a small business may be able to better serve a smaller segment of the market than its larger competitors. Cost-effective Strategies
Once you know who you are targeting, it is much easier to make decisions on media allocations. If your target market is young women, rather than purchase ad space in every magazine., you can advertise only in those popular with that audience.