Target

Market
Chapter 3: Market Opportunity Analysis and
Consumer Analysis

Presenter: Zaira Diamsay

 2
Target Market of a
product/service

Recall:
 What is market segmentation?
 Why it is important?
 What are the four major variables used in
market segmentation?
 How can you relate yesterday’s topic to
Target Market? Is defined as its most probable
and most logical consumers, and may
likewise be its heaviest consumers.
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 How to Create a Target Market
3
Profile and Positioning
1. Statement?
A target market profile identifies the characteristics of the prospects most likely to
purchase from you. Use characteristics such as age, gender, location, income level
or education to build the profile.
2. Profile business customers by a different set of characteristics, including size of
business, industry sector and location.
3. Research the interests and preferences of your target market to find out what they
feel is most important about a product like yours. 
4. Build a more detailed profile of your target audience by capturing information on
their interests and requirements on your website.
5. Identify the product benefits that represent the greatest value for your customers.
Compare the important factors with the performance, features and benefits of your
products. 
6. Create a positioning statement for each distinct customer sector. Use a consistent
format such as "for this target audience, our product provides these important
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benefits that our competitors cannot match.
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 Target Market Analysis Tool
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How to identify your target market?

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 Metro Manila Philippines 11,278,564
“Males and females By gender: By marital status:
residing in Metro Male
49.3%
Single
31.1%
Manila who belong Female
50.7%
Married
46.2%
to income classes Separated/Widow/Widower
22.7%
A, B, and C, single,
are between ages By income class:
Class AB
By age:
Below 10
of 21 to 30, who 21.2%
Class C
14.8%
10 – 20
are sports-minded 41.3% 21.4%
Class D 21 – 30
and are looking for 22.4% 19.7%
Class E 31 – 40
a sport drink that 15.1% 17.9%
41 – 50
can provide relief 11.7%
after strenuous 51 – 60
8.4%
physical activities.” Above 6
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 Elements of an
Ideal Target
Market
A company may finalize the selection of its
market upon consideration of its conformity with the
following elements:

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 Substantial – the selected target
market must be large enough in
terms of quantify and /or total
consumption capability.

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If the target market is not substantial enough, here’s what
you can do.
A.Expand its target market to include other segment brackets
previously not targeted.
B.Expand its target market by reducing the number of sub-variables.
C.Combination of two options.
The target market should ideally be :
1. Financially capable
2. Reachable
3. Homogeneous
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Target
9 Market vs. Consuming
Market
Target Market Consuming Market
 Individuals to whom the  Includes individuals
company decided to outside the product’s
focus its marketing target market
effort. description.

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 THE TARGET MARKET SHOULD IDEALLY BE:
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Financially Capable –must have the financial means to afford
the purchase price of the product/service.

Reachable- must be within physical reach to permit product

distribution. It should be reachable by various marketing
activities.

Homogeneous- must react similarly to specific marketing

stimuli. A homogeneous market is an ideal target market.
Since companies employ various marketing stimuli to attract,
persuade, or retain in the loyalty of its target market,
homogeneous markets will ensure that the marketing activities
will be efficient and effective.
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