Target market?

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A target market is the market segment which a particular product is marketed to. It is often defined by age, gender and/or socio-economic grouping.

Targeting strategy is the selection of the customers you wish to service. The decisions involved in targeting strategy include:

• how many segments to target
• which segments to target
• how many products to offer
• which products to offer in which segments

There are three steps to targeting:

• market segmentation
• target choice
• product positioning

Targeting strategy decisions are influenced by:

• market maturity
• diversity of buyers needs and preferences
• the company's size
• strength of the competition
• the volume of sales required for profitability

Targeting can be selective (eg.: focus strategy, market specialization strategy or niche strategy), or extensive (eg.: full coverage, mass marketing, or product specialization).

see also: marketing, market segment, positioning, Crossing the Chasm

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