Market Demographics
Markets can be described in terms of geographic, demographic, psychographic, and behavioral attributes.
Analyzing your market from this perspective can be a useful way to categorize what you know about the people that you want as clients and lead to identifying and confirming opportunities the market presents. You may find that your information is limited, and just capture what you know.
This can also be an area that can help identify areas needing additional research
-
Market Demographics - Consumer wants, preferences and the frequency of their purchases are often associated with demographic information. Demographics consider information about your markets age, gender, nationality, education, household composition, occupation, and income. Think about the demographics of the people in your market. Are there common factors that describe the people you expect to be potential clients?
-
Market Geographics - This factor address where your customers are physically located. A landscape architect may serve those people within a specific climate or region. If you are marketing your services over the Internet, your client's physical location may be irrelevant.
-
Market Psychographics - The market can also be described in terms of psychographic information. It is more challenging than the previous categories because it is less quantifiable and more subjective. Psychographics categorize people on the basis of their lifestyle or personality attributes. For example, the lifestyles and personality attributes of people in a large metropolitan city are going to be quite different from those of a small agricultural-based community. Consider the general lifestyles or personalities that best describe your market.
-
Market Behaviors - Buyers can also be analyzed based on their knowledge, attitude, use, or response to a product. These behavioral variables may include the occasions that stimulate a purchase, the benefits they realize, the status of the user, their usage rate, their loyalty, the buyer-readiness stage, and their attitude toward the service you offer.
Document what you know about each of these areas.
If you have an existing client base or previous experience with this market, think about your "best" clients. You may want to know where they live, their age, gender, occupation, what is important to them, and why they want your services.
If you do not have historical information, check to see if there are resources that you can use to help you understand and describe the attributes of your market.
Complete what you can and return to this section as you learn more.
For example, a market may be described in these terms:
-
Demographic - The average income of this predominately female group is $40,000 and more; most have attended college, are between the ages of 35 and 50, and have children at our out of the home.
-
Geographic - This Chicago suburb has a population of 65,000.
-
Psychographic - They consider time as their most limited resource and security, both physical and financial, are important.
-
Behaviors - After checking with people they know and trust, they choose professionals and services that have been "tested" and remain loyal to service providers that offer good value, regardless of cost. The relationship they develop with the professional is critical to a successful ongoing experience.
To continue click here: Market Needs.
|
