Why is having a specific target customer important?

Many businesses follow the “build it and they will come” philosophy of finding their customer base. This is why many businesses fail — they wait for the target customer to find the business and its solution. In the C.O.R.E.℠ Genesis — Start Strong program, client companies (you) build a foundation for:

  • defining your business,
  • identifying your market opportunity (the potential customer base), and
  • become an expert in both.

Also, the more you know about your capability (business concept and how you will solve your customers’ problems), the better positioned your business will be:

  • to use the resources you have efficiently to reach your target customer;
  • to adapt and respond to customer feedback,
  • to leverage success, and
  • to build credibility with the customer.

When you build upon your expertise to focus on the target Customer, you can hone your brand and message to reach that customer. It doesn’t mean you won’t have customers find you or that you would turn them away once they do. It simply means you are going to maximize your impact by narrowing your focus when you market or advertise your solution.

Focusing on the target customer simply means that you are going to maximize your resources impact by having a laser focus on the primary, ideal customer.

Customer Clarity Maximizes Impact

So, a clear picture of your customer increases your chance of success because you are able to:

  • Determine the size of your potential customer base. This is your viability component. If you pick a customer segment that is too small,  your business won’t thrive. Or if you pick a customer segment that is too large, you may not have sufficient resources to serve your customer.
  • Refine your marketing to meet the specific needs of your customer base.
  • Tailor your products, services, and technology to your specific customer; provide the benefits that the customer is looking for.
  • Hone your marketing message, your C.O.R.E.℠ message, to include the right style, tone, and content that your target customer needs to hear.

I can hear your objections. No it isn’t going to limit your potential. The opposite is true. By focusing on a specific customer, you maximize your visibility in the target market. You are position your business with a clear message. That clear message enables the prospect to say “Hey that’s me! I need that!”

Okay I still hear you. It  doesn’t mean that others who aren’t targeted won’t get your message. It also doesn’t mean you have to turn down customers that aren’t in that niche. Again, it simply means you are focusing on a segment of the market to enable your success. You can always add a second target segment after you have had success with your first/primary target market.

So, focusing in on a part of the market, a select segment of the total population of prospects, simply means you have set your sights on the prospects that are most likely to buy your solution.

Specify the Customer, Define Success

Having a specific customer as your focus also enables you to get to know them better­ – what they need, think, do…where they shop, how they buy, what influences them. The more expertise and knowledge you have about your customer, the greater your effectiveness in reaching them and conveying to them why you and your solution is for them.

Therefore, it is critical to your business success to identify the best customer for your business. This best customer is frequently referred to as the “ideal customer”. Every business will have a customer that provides the optimal conditions for making a sale. Therefore, your customer, your C.O.R.E. Customer, is defined by the foundation work you did when creating your business (C.O.R.E.℠ Genesis) . The C.O.R.E. Customer identification process identifies:

  • the customer that fits within the business concept/model,
  • the market opportunities that has the best potential for success – the need/benefit match, and
  • the resources you have available to pursue and serve the customer.

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