100 likes | 194 Views
Creating Customer Profiles. Consumer Profiles & Marketing Research. What is a target Market?. A target market is any group of consumers to whom marketers want to sell their products and services
E N D
Creating Customer Profiles Consumer Profiles & Marketing Research
What is a target Market? • A target market is any group of consumers to whom marketers want to sell their products and services • Companies break down their most likely customer by age, gender, race, occupation, salary level, geography, interests, and any other characteristic that is common amongst these consumers • Psychographics are a person’s feelings, beliefs, tastes, opinions and personality traits
Consumer Profiles • The more companies know about their potential customers, the better they are able to anticipate or influence their customers’ buying decisions • Marketers create consumer profiles of the kind of people most likely to be attracted to a specific product
Consumer Profiles • Companies then take these consumers and create marketing groups of consumers that share similar interests and buying habits • This enables marketers to ensure that their marketing efforts are directed at the correct group of consumers, the ones that will be most interested in the product
Sample Customer Profile • Sporting Goods Store • Individual 23 to 52 years of age • Participates in sports • Wants good-quality sports equipment • Looks for good prices • Lives in city of ______________ • Average household income: $42 000 per year
Consumer Profiles • Companies divide their consumer profiles between the: • Primary Market – the most likely consumer • Secondary Market – other, occasional consumers • Although companies spend the majority of the marketing budget on the primary market, they do allocate some to the secondary market
Consumer Profiles • Knowledge of consumer profiles affects the following elements of a marketing plan • Distribution Methods – how to best deliver the product to the consumer • Advertising – helps advertisers create meaningful messages • Product Design – consumers in a target market tend to like the same colours, shapes, materials, and other design features • Media – helps marketers send the promotional message to the right target audience
Primary Data • Information collected for the very first time to fit a specific purpose • Survey: list of questions to ask your customers to find out demographic and psychographic information • Mail, phone, Internet or in person • Observation • Want to open a juice bar in the mall, you might want to see how many customers you could attract • Focus Group – interviews with small numbers of people – more discussion and interaction
Where does the info come from? • There are 3 types of research that businesses use to discover trends affecting their target customers • Primary research • Involves collecting the information yourself through direct contact with potential customers • Much more expensive but usually more detailed and useful • Secondary research • Involves using information that has already been collected by others • Much cheaper but not always relevant or applicable • Internal research • Involves using a businesses own records to gather information about potential customers
Forms of marketing research • There are a number of forms that primary marketing research can take • Survey • Questionnaire to find information • Conducted by phone, mail, online, or in person • Observation • Staying detached from the potential customer, simply watching from a distance • Experimentation / product sampling • Testing the product or service with a small number of potential customers to determine reaction