3. Research Audience Demographics to Identify Potential Customers
Businesses conduct market research to learn important details about their potential customers -- this includes who they are, what they do, where they live, how old they are, and what they buy.
They use this information to determine what to sell and how and where to advertise their products and services.
In this video, you will research your potential customers to help you make choices about your online business.
Then, you will add the results of your research to your slide presentation.
This type of research is called consumer analysis, and it includes both demographics and psychographics.
Demographics define basic information about a group of people, such as their age, gender, income, and education level.
Psychographics describe people’s personalities, needs, interests, values, and lifestyles.
Perform an internet search to start looking for potential customers.
Research successful competitors to your business.
You can do this by: identifying the demographics of people following them on social media noticing who’s talking about them on blogs and forums and looking at a competitor's website to understand how they approach branding -- in other words, how they want their customers to perceive their business.
Focus on the most important elements of the demographics and psychographics for your specific business.
The owner of one type of business may be most interested in a customer’s education level while another might want to know where potential customers live.
Review the search results.
Look for credible sources such as major news outlets and advertising trade groups.
Read at least three sources.
When several sources agree, the information is more credible.
Try to find results published within the last few years, so your demographic information is current.
When you've determined the information you need, add it to your slide presentation.
Add a new slide after your business name page.
Title it “Target Audience.”
Your target audience is the people your product or service is trying to reach.
Then, record the audience information you collected.
Another benefit of market research is that it helps you keep your target audience in mind as you continue building your business.
In the next video, you will organize the information from your research and plan how you will reach these potential customers.
Now, it’s your turn: Go to google dot com to search for information on potential customers.
Consult at least three reliable sources.
And record the information you collected in your presentation.