Target Market – Your customers 1. Customer Who is your customer? Who is paying for your service or product? What customers are you not reaching who might be potential target markets for your social enterprise? Which customers are the most important (prioritize by size, money, volume). List most important as primary, followed by secondary and tertiary markets, etc)? What benefits is each customer segment seeking? (as it relates to your social enterprise? i.e. programming on news, politics, livelihoods shows, music and entertainment, ability to listen during regular hours, etc.? Rate your markets for each product. (fill out the worksheet) Market Rating Worksheet Product or Service Primary Market Secondary Market Tertiary Market Community Radio Station Example Listeners Advertisers Donors & INGOs 2. Customer Levels What are the different customer levels for your products among your target population? (fill out the worksheet) Social Enterprise Customer Levels Product Decision Maker Influencer Purchaser (who Consumer (decides to purchase) (influences decision) buys it) (who uses it) IVA Parents of youth Youth (mother?) Parents Competition (YMCA) Youth Training Donors & INGOs Donors & INGOs Substitutes Free Example programs 1 ***Note*** you may have to segment your markets further: (i.e. radio station where primary customer is “listeners”, however, young people listeners between 16 and 24 have seek different benefits than farmer listeners. 3. Customer Profile Describe your target customers. Focus on common characteristics of your customers related to their decision to purchase your product or service. (fill out the worksheet for each customer segment) Customer Profile Worksheet Trait Consumers Demographics Age Sex Literacy (literate or illiterate) Income Education level Occupation Geographic – location(s) Psycho-graphic – life style characteristics Brand preference or taste Image Summarize your customers’ needs and wants as it relates to your social enterprise? o WHAT ARE THE BENEFITS YOUR CUSTOMERS ARE SEEKING? 2 Which are the most important factors motivating a customer to buy your product or service? Price Quality Brand Product features Promotions Advertising Ease of use Convenience of purchase Location Shopping ambiance Customer service Refunds/returns Availability of credit Service/maintenance Peer recommendations Do: Segment and prioritize markets. Demonstrate clear understanding of your customers: their characteristics, preferences, buying sensitivities and benefits they want. Evidence that a market exists with market research data. Don't: Confuse customers levels Define market too broadly or try to address your target market universally. Assume target market is equally distributed. 3