How to identify your target market and increase your profits | Chapter 2

In the chapter "Select your target market" of the book "The 1 page marketing planAllan Dib's "The New York Times," suggests focusing on identifying your specific target market rather than trying to reach everyone.

This is known as "Nitching"and involves focusing on a specific niche to be the expert in that field rather than trying to cover everything.

Dib also recommends using the "PVP index (personal fulfillment, value to the market place and profability)"to identify your ideal client and ensure that you are working with clients that you enjoy, that value your work and that are profitable for your business. Finally, it highlights the importance of not being afraid to turn clients away and focus on becoming an expert in one niche of your services before expanding to others.

• Why is marking everything as your target a bad idea?
• Why mass marketing can be detrimental to business and can cost more than you get?
• How to use the PVP index to select your market perfectly?
• Why should you focus on a specific niche and be the big fish in the small tank?
• How to make price irrelevant to your customers?
• Why should you stop advertising a lot of products and services?
• How do you go deep into the prospect's mind to really understand what they want?

Not for everyone

In times of war, in the past, armies launched all their arrows at the opposing army in general. Although some of them managed to hit their targets, many others were wasted. However, if all arrows were directed at a single point, better results could be obtained.

This technique, known as "Nitching"This also applies in the world of marketing. Instead of trying to appeal to all potential customers, it is better to focus on a specific niche and be the best in that area. This way, you can become an expert in a certain subject and offer added value to customers, which in turn can make the price irrelevant. In addition, by directing all efforts towards the same point, you can get better results and increase profits.

Harness the power of focus

Let's say your business is a SPA, where you offer haircuts, hair coloring, a small spa, massages and many other things. Instead of advertising all your services, the idea is to focus on just one of them and become the expert in that same service.

For example, in anti-cellulite treatments. But it doesn't stop there, the recommendation is to go further, looking for an even more specific niche. Looking for new mothers who have just given birth to their little ones. So the idea is that you become the expert in offering anti-cellulite treatments for new mothers.

Niche selection makes price irrelevant

If you had a heart attack, would you prefer a heart specialist or a general practitioner? This is the beauty of nichesNo matter the price, what you want is for him to solve your health problem.

Reaching your niche, the prospects. will see you as a specialist who will solve their problems which gives more weight to the value you offer than to the price of your services. At this point you have to decide who to exclude. So you should not be afraid to reject clients.

Become a specialist in one niche of your services, once you reach that point, move on to the next, then another, and so on.

How to identify your ideal customer?

Here we use the PVP Index (personal fulfillment, value to the market place and profability) to give a total value of 10.

• P - Personal fulfillment: How much do you enjoy your customer, is it a headache, how much do you enjoy this segment?
• V - Value to the marketplace: How much does this segment value your work, and will they be willing to pay well?
• P - Profitability: How profitable is the work you do for this segment? Many times you can charge a lot, but the profit is diminished, there may even be a loss.

"Remember it's not about turnover, it's about what's left over."

As an example of a photography business: the ideal client to start with is family portraits.

Just like creating a buyer persona, what is their gender, age, location, etc. Here are some questions you may find useful:

1. What is this prospect afraid of?
2. What are you angry about?
3. Who are you angry with?
4. What are your daily frustrations?
5. What are the trends in your business and daily life?
6. What do they secretly wish for more?
7. Are there any biases by which you make decisions (e.g., engineers = they are very analytical)?
8. Do they have their own language or idiom?
9. In which social networks do they spend the most time?
10. What websites do they visit?
11. What is the person's day like?
12. What is the dominant emotion that this business or niche feels?
13. What is the one thing you implore above all others?

Not studying your target market can take you further away from success.

Create a buyer persona or avatar

Remember that it is necessary to do so for the decision maker or buying influencer.

In this link you can create a buyer persona for free: https://www.hubspot.es/make-my-persona