BROWSE

Target Market

Definition

A target market is a group of customers within a business's serviceable available market that the business has decided to aim its marketing efforts towards. Target markets consist of consumers who exhibit similar characteristics and are considered most likely to buy a business's product or service.

What is a 'Target Market'

A target market is the market a company wants to sell its products and services to, and it includes a targeted set of customers for whom it directs its marketing efforts. Identifying the target market is an essential step in the development of a marketing plan. A target market can be separated from the market as a whole by geography, buying power, demographics and psychographics.

Explaining 'Target Market'

A company invests significant amounts of time and capital to define and monitor its target market. Not all products and services are meant for all types of consumers, and consumers are often cautious with their spending power. For this reason, target markets are typically segregated by age, location, income and lifestyle. A company defines its target market by the consumers that are likely to have a need for its product. Defining a specific target market allows a company to hone in on specific market factors to reach and connect with customers through sales and marketing efforts.

Significant Factors About the Product

The target market is a central focus within a marketing plan that determines other essential factors for the product, such as distribution, price and promotion efforts. The target market also determines significant factors about the product itself. In fact, a company may tweak certain aspects of a product, such as the amount of sugar in a soft drink, so that it is more likely to be purchased by consumers with varying tastes.


Further Reading


An analysis of the financing decisions of REITs: the role of market timing and target leverage
link.springer.com [PDF]
This paper examines the role of capital market conditions and target leverage on the marginal financing decisions of Real Estate Investment Trusts (REITs), which include both capital raising and capital reduction activities. We investigate the relevance of a hybrid …

What determines the speed of adjustment to the target capital structure?What determines the speed of adjustment to the target capital structure?
www.tandfonline.com [PDF]
This paper examines the role of capital market conditions and target leverage on the marginal financing decisions of Real Estate Investment Trusts (REITs), which include both capital raising and capital reduction activities. We investigate the relevance of a hybrid …

The managerial, regulatory, and financial determinants of bank merger premiumsThe managerial, regulatory, and financial determinants of bank merger premiums
www.jstor.org [PDF]
This paper examines the role of capital market conditions and target leverage on the marginal financing decisions of Real Estate Investment Trusts (REITs), which include both capital raising and capital reduction activities. We investigate the relevance of a hybrid …

Debt financing and financial flexibility evidence from proactive leverage increasesDebt financing and financial flexibility evidence from proactive leverage increases
academic.oup.com [PDF]
This paper examines the role of capital market conditions and target leverage on the marginal financing decisions of Real Estate Investment Trusts (REITs), which include both capital raising and capital reduction activities. We investigate the relevance of a hybrid …

The empirical determinants of target capital structure and adjustment to long-run target: evidence from Canadian firmsThe empirical determinants of target capital structure and adjustment to long-run target: evidence from Canadian firms
www.tandfonline.com [PDF]
This paper examines the role of capital market conditions and target leverage on the marginal financing decisions of Real Estate Investment Trusts (REITs), which include both capital raising and capital reduction activities. We investigate the relevance of a hybrid …

Interest rate pass through and asymmetric adjustment: evidence from the federal funds rate operating target periodInterest rate pass through and asymmetric adjustment: evidence from the federal funds rate operating target period
www.tandfonline.com [PDF]
This paper examines the role of capital market conditions and target leverage on the marginal financing decisions of Real Estate Investment Trusts (REITs), which include both capital raising and capital reduction activities. We investigate the relevance of a hybrid …

The combined effects of free cash flow and financial slack on bidder and target stock returnsThe combined effects of free cash flow and financial slack on bidder and target stock returns
www.jstor.org [PDF]
This paper examines the role of capital market conditions and target leverage on the marginal financing decisions of Real Estate Investment Trusts (REITs), which include both capital raising and capital reduction activities. We investigate the relevance of a hybrid …

Determinants of target capital structure: The case of dual debt and equity issuesDeterminants of target capital structure: The case of dual debt and equity issues
www.sciencedirect.com [PDF]
This paper examines the role of capital market conditions and target leverage on the marginal financing decisions of Real Estate Investment Trusts (REITs), which include both capital raising and capital reduction activities. We investigate the relevance of a hybrid …

Advertisement selection system supporting discretionary target market characteristicsAdvertisement selection system supporting discretionary target market characteristics
patents.google.com [PDF]
This paper examines the role of capital market conditions and target leverage on the marginal financing decisions of Real Estate Investment Trusts (REITs), which include both capital raising and capital reduction activities. We investigate the relevance of a hybrid …

Domestic versus cross-border acquisitions: which impact on the target firms' performance?Domestic versus cross-border acquisitions: which impact on the target firms' performance?
www.tandfonline.com [PDF]
This paper examines the role of capital market conditions and target leverage on the marginal financing decisions of Real Estate Investment Trusts (REITs), which include both capital raising and capital reduction activities. We investigate the relevance of a hybrid …



Q&A About Target Market


What is a target audience?

A target audience is the intended or readership of a publication, advertisement, or other message catered specifically to said intended audience.

How does this article relate to the topic of targeting audiences?

This article relates to targeting audiences because it discusses how businesses can use their marketing strategies to reach specific groups within their overall market.

How can you separate a target market from the overall market?

By geography, buying power, demographics and psychographics.

What is a target market?

A target market is the market a company wants to sell its products and services to, and it includes a targeted set of customers for whom it directs its marketing efforts.

What are some factors that influence a target audience?

Factors that influence a target audience include nutritional needs of growing children and children's knowledge and attitudes regarding nutrition.

What determines significant aspects about the product itself when determining your target market?

The type of consumers that make up your targeted group will determine certain aspects about the product itself. For example, if you are targeting children with an energy drink then you may want to consider making it taste sweeter than normal so that they will be more likely to purchase it.

How does identifying your target market help develop your marketing plan?

Identifying your target market helps determine other essential factors for the product such as distribution, price and promotion efforts.

Why would companies tweak certain aspects of their products based on their targeted markets?

Companies may tweak certain aspects of their products based on their targeted markets because they know what types of people are most likely to buy them. For example, if a company knows that people who like sweet drinks are more likely to purchase an energy drink then they might add extra sugar or flavor in order to increase sales among this particular group.