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This step involves a close analysis of your business.
Much like an investigative reporter, you need to
determine the who, what, where, when, and why of your
customer base. Ask yourself the following questions:

• Would your product or service appeal more to men,
women, or both genders equally?
• What age range does your product or service appeal
to? (Note: if your business sells products or services
for children, parents are your target demographic).
• What is the range of income and education level of
the people who may be interested in your product or
service?
• Are they single? Married? With children? Retired?

• How will your customers use your products or
services? Is there a potential for repeat business?

• Does your product or service fall into the category
of needs (food, clothing, shelter) or wants (luxury
items)?

• What makes your product or service unique

• Is your product an impulse buy (books, shoes,
gourmet food) or an investment (cars, boats, computer
hardware or software)?

• How are transactions for your product or service
typically carried out — online, mail order, or in
person? Cash, check, or credit cards? A single
payment, multiple payments, or monthly recurring fees?

• How do your potential customers typically become
alerted to new products or services? Online, through
public advertisements, from the news media, or some
other method?

You may even want to develop a profile of your ideal
customer (for example, 20-30 year old single
college-educated females, or 40-50 year old married
males with middle-class incomes) to help you pinpoint
your target market.

To Your Success
Cody Moya

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