Use the PVP (personal fulfillment, value to the marketplace, and profitability) index to figure out your ideal target market.
- Personal fulfillment: how much do you enjoy dealing with this customer?
- Value to the Marketplace: How much does this market segment value your work? Are they willing to pay you a lot for your work?
- Profitability: How profitable is the work you do for this market segment?
The highest PVP score is the ideal customer for the business industry.
This customer is the most fun and profitable, highest value, and the best paying. This is the customer you need to focus your marketing efforts on.
These characteristics will help you define who your customer avatar is.
Summary:
Here are some important points about the target audience when it comes to direct response marketing:
- To be successful, business marketing needs to be focused on a narrow target market or niche. A niche is a defined portion of the target audience.
- A niche is a defined portion of the target audience.
- It is important to have a niche because you have limited money and resources and if your focus is too broad, the marketing message will become diluted.
- The goal of marketing is to be relevant and for prospects to indicate interest and response to your business offer. You can charge more if your business is more specific and targets a specific niche.
Call to Action: Identify your ideal customer avatar or target audience in terms of different demographics including age, gender, socioeconomic status, education, career, and pain points.
