The Best Target Audience Guide to Read in 2020
Table of Contents
- 1 How to effectively highlight your target audience?
- 2 Building relationships is a long-term investment
- 3 Meaning of the target audience?
- 4 Importance of highlighting a target audience now!
- 5 Target audience vs. Target market
- 6 How to identify your target audience in 5 easy steps!
- 7 Who is your target audience example?
- 8 Why is target audience important?
- 9 What are the 3 types of audiences?
- 10 What are the 3 target market strategies?
How to effectively highlight your target audience?
“Without water, there is no life”
“Without aim, there is no living”
Does your company strive for an increase in sales by leaps and bounds, but almost misses it? Or are you a prominently well-established company with a set market but want to shift transactional relationships to a more relational relationship? Well, the answer lies in target audience selection. Read on to learn more about what are the target audiences and target markets.
Target audiences are literally the people you should be targeting. It is like hitting the bull’s eye in marketing and sales. Many times when an entrepreneur is asked about who is the target audience, s/he answers “everyone”, but more often than not, that is not the right answer. So then what is?
It is of utmost importance to narrow down this “everyone”. Why? Well, if you are selling incense sticks, a product very particular to Indian culture, your ads, your slogan, your marketing style, sales strategies, etc. need to focused on what can impress the Indian culture. If you chose to narrow down and cater only to your target audience you will be able to:
“convert your strategies into revenue”.
As we continue to progress in this article, the basics and details of targeting the audience will come to the surface. At this point, you may find it better to understand the target audience as a group of individuals to whom your advertising and marketing efforts are directed. They’re essentially the people who will convert into customers.
Let’s dive deeper into the basics of target audiences, and tips and tricks to help you adopt audience-specific marketing strategies.
Building relationships is a long-term investment
Meaning of the target audience?
Firstly, you should answer the question as to what is a ‘target audience’:
“A target audience is a set of customers who may potentially buy your product.”
They are defined based on key demographics and broad behavioral characteristics. This may include – gender, geographical location, language preferences, cultural and/or religious background, age, education level, profession, income, etc.
If your brand wants to connect with the audience they have to make the audience feel connected. By curating your brand message for a specific target audience, your customers will enable to relate to your product vision, story and purpose. Learning which audience you’re targeting with each campaign will ensure that you speak their language.
Identifying a specific target audience does not point toward the fact that you must exclude the ones who don’t meet the target criteria. Instead, segmenting your target audience will permit you to shoot your message at the most appropriate market – and the people who have a higher probability to buy your product/service. Having a target audience definition to build upon, your company can spend lesser, and earn more by aiming at the most appropriate leads in your network.
For instance, if you are the company Dairy Milk Silk in India. You have identified that your target audience is pre-teens, teenagers and young adults. Now you can focus your ad campaign on things that teenagers and young adults can relate to. Elderly persons are less likely to relate to “Say it with silk” or “Pop your heart out” during Valentine’s Day, but teenagers and young adults can find it highly relatable. This is how you successfully seb=gment your target audience and then focus your message to them.
Psychographics are also an important part of what a target audience is. Psychographic marketing is making use of psychological, anthropological, and sociological characteristics, along with the behavior of consumers, their living style and self-concept to ascertain how marketing decisions are made.
For instance, if you are an insurance company, you will use psychographics and conclude that men are the breadwinners of the family, and men are the decision-makers especially in terms of finances. So all your advertising schemes will portray men as the focal characters. This would help your insurance company strike a connection with your target audience – middle class and upper-middle-class men who earn – and once your audience finds your ad relatable, they would find your product relatable and thereby turn from a potential customer to a sure-shot customer!
In brief, there are numerous methods of demographic, psychographic, geographic and behavioral data collection. There are all quantitative methods to determine your target audience. Such kind of data can be collected through statistical processes. These statistical processes include – surveys and questionnaires, focus groups or comprehensive interviews.
Now that you have a fairly clear and crisp idea of what a target audience means, are you thinking why this matters in the first place? So what if your insurance company ads are not targeted to the population that actually spends and buys insurance, but to the general public? So what if your Dairy Milk Silk marketing is not focused on teenagers and young adults, but to anyone and everyone?
Importance of highlighting a target audience now!
The most practical way of leaping forward
Identifying the demographics of your audience or whether or not an audience even does exist is the most realistic way of leaping forward in business. You can not practically determine the rise or fall of your product/service if you are unable to identify who is buying that product/service in the first place.
A very appropriate example for clarifying the importance of highlighting a target audience would be:
Have a look at the Dominos commercial in the US and the Dominos commercial in India. Both the ads were shot keeping in mind the target audience. The cultural differences are very evident in both the videos. In the US commercial, 3 men have ordered in Pizza and are talking about how good it is. This kind of ad could have worked or failed in India.
But the Indian commercial that shows a couple ordering in Pizza after the wife burnt their attempted dinner, definitely did work in India. Imagine this ad being aired in the US. The Dominos franchise would have faced immense backlash because – they may perceive it as disrespectful to women; it is not apt enough because US culture promotes ordering in home-cooked meals, etc. etc.
Appropriate connections with consumers means stronger brand loyalty
Determining a target audience is the key to gaining brand loyalty, which would, in turn, ensure greater returns on investment. In order to determine your brand’s target audience effectively, marketing managers ought to compile data on target audience grouping, mainly through demographics, psychographics, and consumer lifestyle.
Segmenting target audiences means higher chances of gaining support from investors
Lastly, business owners who have mastered the art of identifying target audiences hold a higher chance of gaining support and persuading. Being able to distinguish between various audiences helps in the easier determination of what segments of consumers truly support your business and what segment is going to become something more than one-purchase customers.
Target audience vs. Target market
Target audiences and target markets do have a similarity.
The groups of people comprising a target market are selected primarily based on taste and preferences; however, a general group or market may be based on the criteria;
Target audiences are generally to be separated into groups that share a set of common characteristics. These may include:
- Family size
Most characteristics used to create the groups of people under the umbrella of, ‘target market’ and ‘target audience’, is the same.
A target market can be explained as a group of consumers at whom all marketing efforts and products are aimed at. By who? By the business and marketing teams. It includes people willing to use the product or service.
Sounds similar to a target audience? Well, let this article help you clearly understand the difference. A target audience, as explained in the earlier sections, is the people that are expected to be customers of a product/service by a business. The important thing to note here is they are –
The product/service is not mandatorily aimed for this group of people to purchase.
The target market for any business refers to the group of consumers to whom you serve the products/services by your company. The target audience of any business is a subset of what the target market is. Target audience is the people whom you intend to reach by way of a certain kind of marketing strategy, promotional strategy or advertising activity.
This can be better understood through an example. For instance: you are a toddler’s toy company. You sell toys like a walker, piano toy, cashier toy, race cars, barbie dolls, etc. Now, who is your target market?
Ans: Your target market is toddlers, let’s say from the ages 3-8.
Now, who would your target audience be? It would be the group of people who your marketing schemes will be aimed at, and that is
Ans: Your target audience is parents and grandparents of toddler children
The difference must be crystal clear now, the target market is the group of people who will actually end up making use of your product. On the other hand, the target audience will be the people who you channelize your promotion and ads toward.
How to identify your target audience in 5 easy steps!
Initially, the task of identifying your target audience may seem time-consuming and irrelevant. But every successful business must have a direction to aim toward. Therefore, relevance has definitely been established. Now as far as the time-consuming task is concerned, let this article help you follow some simple steps to identify your target audience:
Step 1: Identify your existing consumer base
If you are an existing company, your first step should be toward identifying your current consumer base. If you are a start-up looking to step into the market scenario, then your first step should be identifying your product’s potential usage in order to determine your target audience.
Ask your marketing team:
- Who are your current customers?
- What are the reasons behind them buying from you?
- Find common characteristics and interests.
- Which of these characteristics bring in the most business?
Next, you could collect first-hand data from your customers. Surveys are highly underrated, but efficient means to do the same. They provide you tons of pieces of data you can be used in order to highlight your target audience.
But surveys are effective so long as you prepare effective questions. According to a study by SurveyMonkey, the average market research survey comprises about 13 questions, while all other general types surveys range from 4-14 questions.
Keep in mind that your customers lead busy lives. If a survey given to them takes too long to complete, they’ll lose interest and quit.
Step 2: Understand your competition
You would be the luckiest business if you didn’t have any competition at all. But irrespective of whether you have competition during your entry or not, the competition will creep in at some point or the other. And no business wants to be caught copying their competition’s strategy.
The second step to identifying your target audience is analyzing your competition. Analyzing the methods adopted by your competitors can aid your answers to certain key questions:
- Are your competitors following the same consumer population as you are?
- Are they reaching segments you hadn’t thought to consider?
- How are they positioning themselves?
It may not be feasible to retrieve detailed audience research about the consumers interacting with your competitors, but any kind of glimpse into the same will help you get a more general sense of the approach taken by them. The same can be used by you to understand whether their approaches helped create consumer engagement.
Such an analysis will definitely help your business gain an understanding of which market efforts appear to be effective and which appear to be ineffective.
Step 3: Choose your target demographics
Even though the earlier section in this article does mention various demographic categories, this section provides a compilation of the same. Categories that you should be looking at are:
- Age categories (teenagers, young adults, middle-aged persons, elderly, etc.)
- Gender (you may choose to stick to the binary male/female types or be inclusive of the LGBTQ+ community)
- Culture (American, Indian, Japanese, Latin American, North-Indian, South-Indian, etc.)
- Income levels (Below poverty line, Lower middle class, middle class, upper-middle-class, etc.)
- Job (Teacher, Bank employee, Salesperson, etc.)
Step 4: Identify under-served markets
Any business of any size can try to compete much more effectively by targeting under-served markets. Instead of trying to get to every customer who may potentially purchase your product, you must focus on a marketing plan that is inclusive of even smaller and potentially unreached parts of the total market. This will also permit you to create a niche for the product/service.
Step 5: Easy tools to help you carve your target audience
Lastly, you must keep in mind that we live in an era of digital transformation. Therefore, brands have a vast range of tools and resources at hand to aid them in making the most out of their marketing strategy. While building a target audience definition for your business, be sure to check out the data through things like Google Analytics. This Analytics platform will provide an in-depth analysis of features like is visiting your website, where they’re coming from, and what they like.
Lastly, the more efforts you put into your target audience insights, the more efficient you’re your campaign customization be. Participate in research on your customers. Continuously communicate with your audiences through channels such as blogs, social media platforms, etc. Do let us know in the comments section what did you identify your target audience as using our 5-point step?
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Who is your target audience example?
This group includes attributes, such as age, income, education, gender or geographic location. Using demographic data you can target your campaign for example at young people (eg. age 18-24), both female and male from towns with a population larger than 20,000.
Why is target audience important?
A target market is a group of consumers identified as likely purchasers of a company's product. Choosing a target market is important because it enables the firm to direct its resources to those customers with high potential for sales growth, interest in the product and loyalty to the brand.
What are the 3 types of audiences?
Three types of audiences are the “lay” audience, the “managerial” audience, and the “experts.” The “lay” audience has no special or expert knowledge.
What are the 3 target market strategies?
Three main activities of target marketing are segmenting, targeting and positioning. These three steps make up what is commonly referred to as the S-T-P marketing process.