Market Research

A target market is

• A specific group of customers at which a company aims its products and services
• A place where goods are sold
• A type of marketing strategy
• A type of business model

A target market helps a business

• decide where to spend their advertising money.

• find the stores in their area.

• purchase the items they are going to sell.

A target market helps a business

• to identify potential customers
• to reduce operational costs
• to increase product quality
• to improve employee morale

A target market helps a business

• decide how much they can charge for their products or services.

• to increase its production cost
• to reduce its profitability
• to limit its product range

A value proposition

• A value proposition is a business or marketing statement that summarizes why a consumer should buy a product or use a service.
• A value proposition is a mathematical equation used in business.
• A value proposition is a legal term used in contract law.
• A value proposition is a type of business insurance.

Primary data

• Data collected by someone else
• Data that has been processed
• Data collected from first-hand accounts, like an interview with the person.

• Data available in public domain

Secondary data

• Data that is not from the original source, and may be biased.

• Data collected by the researcher
• Data that is not important
• Data that is secondary in importance

Without customers,

• a business can still thrive
• a business cannot survive
• customers are not necessary for a business
• businesses do not need customers to make profit

Potential customers are divided into segments (or groups) based on several factors.

• Based on their geographical location
• Based on their lifestyles and what they like to do.

• Based on their age and income
• Based on their spending habits, and how much they will pay.

Finding the right potential customer is important because

• It saves time and resources
• It increases the company's popularity
• It helps in product development
• It helps in making friends