Finding your target market

Are you looking to grow your business but not sure where to start? One of the most important things you need to do is define your target market.

Let's use a construction company as an example.

You might think, "but we can build anything for anyone!" But here's the thing: when you try to appeal to everyone, you'll spread yourself too thin and not resonate with anyone. So instead, when you narrow down your target market, you'll create a message and offer services that speak directly to the people most likely to be interested in what you offer.

In other words, you might say when you try to be all things to all people, you become invisible to everyone.

Let's start with an example

Let's say you're a construction company specializing in luxury home building. If you try to appeal to everyone, you'll compete with all the other general contractors and home builders, and it'll be hard to stand out. But suppose you target a specific market, like wealthy retirees looking to build their dream retirement home. In that case, you'll be able to create a message that speaks directly to their particular needs and desires.

By focusing on a specific group of people, you'll be able to create a message highlighting your company's strengths and expertise in building luxury homes. Additionally, you'll be able to target your marketing efforts to places where your target market is likely to be found. But, again, this speaks to the problems you solve for your customers.

Make sure you know what's unique about your business.

Another benefit of having a clearly defined target market is that it will help you to develop a unique selling proposition (USP). A USP is a statement that explains how your business is different and better than your competitors. By understanding your target market's specific needs and desires, you'll be able to develop a USP that speaks directly to them. For example, suppose your target market is retirees looking to build their dream home. In that case, your USP could be "Building Luxury Homes Tailored to the Unique Needs of Retirees."

That's a good start, and you'll need to define the unique needs of retirees. For example, you might know how to build a one-story home with touches that seniors will value as they age. Talking about the differences of needs of those over 65 would be very different than the language you would use if talking to potential customers in their 40s who have a growing family.

Target markets allow you to wash, rinse and repeat

Having a target market can also help you to streamline your services. When you understand the specific needs of your target market, you'll be able to develop services that cater to those needs. For example, suppose your target market is retirees. In that case, you might offer services such as universal design, which considers the specific needs of aging adults. This will make you stand out in the market and give you an edge over your competitors.

We call this the Head and Shoulders method. This allows you to do very similar things for all your customers. It's where the saying, "wash, rinse and repeat," comes into play.

This is the secret of outsized profits

In addition, having a target market can also help with pricing strategy. When you know your target market, you can research and understand their budget and spending habits. This way, you'll be able to offer competitive prices that appeal to them. In addition, by understanding their budget, you'll be able to offer more affordable options without compromising on quality.

You'll even have better margins. The reason is simple. Because you're doing similar activities over and over, you won't have to reinvent the wheel every time you have a new customer. As a result, your team will become faster and deliver better service.

Lastly, having a target market also helps with customer retention. When you understand the specific needs of your target market, you'll be able to provide better customer service. By understanding their needs, you'll be able to anticipate and address their concerns before they even come up. This will lead to better customer satisfaction and a higher likelihood of repeat business.

Here's what I want you to do.

1. Start by downloading our free eBook on strategic marketing. It'll help you figure out who your best customer is and why. Click on the button below to get your free eBook.
2. Find out who your best customers are. They're the ones you make outsized profits with and have the most fun working with.
3. Only allow your sales team to talk with A customers.?

In short, having a target market is essential for any construction company looking to grow its business. By understanding your target market's specific needs and desires, you'll be able to create a message that resonates. This allows you to develop a unique selling proposition, streamline your services, price your services competitively, and provide better customer service.?

I would love to hear what you have to say about creating a target market that you love and loves you. I also would love to have a conversation with you about your thoughts and if you have any roadblocks in the way.?