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Grow Faster in New Target Markets

Break out the map. It's time for you to go a-huntin' for new markets.
November 26, 2001
URL: http://www.entrepreneur.com/article/46528

Q: My business has experienced considerable growth over the years. This has been accomplished as a direct result of aggressive marketing in my target market. Recently, however, that rate of growth has slowed. How can I increase my business's rate of growth?

A: A target market represents a specifically identifiable group of potential customers. These groups may have characteristics similar to those of your existing customers, or they may represent new markets. Each group has its own unique profile, consisting of behavioral characteristics such as shopping patterns, frequency of purchase, brand preference, values, goals and wants; their geography, including neighborhood subdivisions, ZIP codes or states; and demographics, such as age, sex, income, marital status, family size, occupation and education. Each of these elements helps determine what and when they buy, and from whom.

Your business may have reached a degree of saturation within its existing target market(s). This could explain a decrease in the rate of growth. In order to grow faster, your business may be well-advised to look to new target markets for its growth. The following are examples of marketing strategies you can implement to create sales for your business within new markets:

Wherever you find new target markets, and however you attempt to access the new potential customers that are contained within, you may find these markets a tremendous opportunity to grow your business at rates that are much higher than those it is currently experiencing.

David Meier is founder and COO of Small Business 411, which provides small-business owners with ongoing business coaching and the knowledge and support required to enable them to become truly successful entrepreneurs. Visit the Small Business 411 site at http://www.smallbusiness411.com.


The opinions expressed in this column are those of the author, not of Entrepreneur.com. All answers are intended to be general in nature, without regard to specific geographical areas or circumstances, and should only be relied upon after consulting an appropriate expert, such as an attorney or accountant.