Identifying the Best Markets for Your Organisation
What constitutes the best market for the organisation?
The best market is the one to which an offer can be developed that is a strategically better one than that of competitors. It is also the market that offers the organisation the best value.
Market can comprise one or more target markets or segments.
Identifying the best prospects is done by segmenting the overall market, (a method which divides the total market into groups with certain, (meaningful) shared characteristics (benefits sought, behaviours, lifestyles etc.)) and targeting the specific group or groups (target segment/target market) that can best be served (from their perspective as well as ours).
Segmentation and targeting allows organisations to create more effective value offerings (marketing mixes) that are better attuned to who the customer is and what they will value.