Re-inventing a business … Target Market

The first thing to think about when planning or re-inventing a business is your target market — who is going to be your primary customer, secondary customer and tertiary customer.

Your primary target already wants your product, and if you are currently in business, is already doing business with you.  Primary customers supply about 80% of your business but make up only 20% of your customer base.

Your secondary target just needs a little education or encouragement to buy and can be converted to a primary customer.

Your tertiary target doesn’t know you exist yet but fits the demographics and psychographics of your target market.

Knowing the profile of your target market, in terms of buying habits, needs and desires, allows you to shape your brand to appeal to that profile.

Application

I have clients that have been working with me for many years and consider me one of their key corporate advisers.  Most of them started working with me when they were just formulating their business ideas and needed a business plan.  Others already had businesses and needed help attracting financing, building a new division of their company, going public, creating an investor relations department, or they just needed to go through a positioning session [one of my most popular services] to find out where they were and what direction they wanted to take next.

My clients tend to be attracted by my  experience and my no-nonsense direct and totally involved style.

Looking at this, it is clear to me why my business has already started to turn toward mentoring/coaching.  So, what I must do is figure out a way to make it clear to my target market that I am focusing on expanding into that function.

Of course, I will still do project work.  That is a product line that is firmly entrenched and performing.

The goal of re-inventing your business is to find a way to keep your current customer base happy but add new products and services that appeal to your current customers and attracts your next generation of primary and secondary customers.  It should also function in attracting new customers out of your tertiary target market because that is where your next generation of primary and secondary customers will be found.

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