Scratching your head and wondering how to identify target market correctly?
Well, you can’t apply a one-for-all approach. Instead, you need to be very specific.
For example, knowing your ideal customer prefers online shopping over in-store visits or is more likely to engage with your brand on Instagram rather than Facebook.
This level of detail can drastically improve your conversion rates and lower your customer acquisition costs because you know the people who are most likely to buy from you. There are 15 steps that you can apply to get the specifics right. So, let’s get started!

15 Steps on How to Identify Target Market
Understanding your ideal customers allows you to tailor your products, services, and marketing efforts to reach the right audience effectively. Here’s how to do it right:
Identify Your Target Market: 15 Steps to Follow
1. Market Research
Market research isn’t something you can skip because you might waste resources on ineffective marketing campaigns. Use tools like Google Analytics and Google Search Console to gather and interpret data.
For example, Google Analytics can show you where your website visitors are coming from, what pages they’re spending the most time on, and even the type of device they’re using.


This information can help you understand who is interested in your product and how they interact with your brand online.
You’ll also want to look at industry reports and consumer behavior studies for a broader view of market trends. The more data you have, the better your decisions will be. So, be more thorough.
2. Analyze Existing Customers
Your existing customers are people who’ve already bought from you, so understanding them can offer a goldmine of information.
Start by looking at your customer data.
What are the common characteristics? Are they mainly from a specific age group, gender, or geographic location? Do they have similar buying behaviors?
You can see this data in Google Analytics as in the image below


For instance, if a majority of your customers are millennials who engage with your brand on Instagram, that’s a cue for where you might want to focus your marketing efforts.
The idea is to find patterns to help you understand who is already attracted to your product and why. You can also find their common ground by looking at their psychographics, such as values, interests, and lifestyle.
If on Instagram, you can visit the meta business suite page and open insights – audience. There is gender demographic data and the area your Instagram reaches.

3. Create Buyer Personas
Once you’ve got a handle on your existing customers, it’s time to create buyer personas. Think of these as detailed sketches of your ideal customers from your gathered information.
You’re not just listing demographics like age and location but deeper.
You’ll want to include psychographics, which are your target market’s attitudes, values, and lifestyles.
For example, if you’re selling eco-friendly products, your ideal persona might be someone who values sustainability and is willing to pay more for environmentally responsible products.
You’ll also want to identify specific pain points your product or service can solve for these personas. The more detailed you are, the more valuable these personas will guide your marketing strategies.

4. Segment Your Audience
This is where you take that broad group of people interested in your product and break them into smaller, more manageable chunks. Why? Because not everyone in your target market is the same.
You might have a group of super tech-savvy customers and another group that’s not so much. Segmenting allows you to tailor your marketing messages to each group’s specific needs and preferences.
5. Identify Pain Points and Needs
One effective way to do this is through surveys and customer feedback. Tools like HelpScout can help you collect this data. Ask questions that dig deep into the challenges your customers are facing.
If you’re in the fitness industry, don’t just ask if they want to lose weight. Ask what’s been stopping them—Is it lack of time?
Lack of motivation?
The answers to these questions will not only help you understand your audience’s needs but also allow you to tailor your product offerings and marketing messages accordingly.
6. Competitive Analysis
You’ve got competitors, and you’ve got to know what the other guys are up to if you want to stay ahead. But don’t just copy what they’re doing.
Instead, understand the areas where you can do better.
Use tools like MarketingCloudFX to get insights into your competitors’ strategies. Look at their customer reviews, social media engagement, and product offerings.

Then, if you notice that a competitor’s product has a feature that customers love, ask yourself if that’s something you can incorporate into your own product.
Or if you see that they’re lacking in customer service, that’s an area where you can gain an edge. The goal is to find gaps in the market that you can fill, giving you a competitive advantage.
7. Surveys and Feedback
You might think you know what your customers want, but there’s no substitute for hearing it straight from their mouths. Tools like HelpScout can be a big help here.
You can set up customer surveys that pop up on your website or send them out via email.
The key is asking questions that get to the heart of what your customers care about. Instead of just asking if they’re satisfied with your product, ask what specific features they find most useful or what improvements they’d like to see.
8. Social Media Insights
Social media insights allow you to see what kind of posts are getting the most engagement, what hashtags are trending among your target audience, and even the sentiment behind the comments.
This is invaluable because it helps you understand what your audience is interested in and how they feel about your brand. These insights also provide primary data about your audience, such as demographics and interactions.
9. Keyword Research
Keyword research aims to understand your target market’s language when looking for products or services like yours. Tools like Google Keyword Planner have keyword research features to help you identify these key terms.
So, search and use the right keywords in your content to significantly boost your visibility on search engines. However, don’t just focus on ranking higher. You need to rank for the correct terms.
For example, if you’re selling handmade soap, you’ll want to rank for keywords like “organic handmade soap” or “all-natural soap,” not just “soap.”

10. Test and Iterate
How to identify target market is not a one-time task. You’ve got to keep tweaking them to see what works best. Take the data and insights you’ve gathered and put them to the test.
You could run A/B tests on your email campaigns to see which subject lines get the most opens or test different landing pages to see which one converts better.
Then, adapt your next strategy following these insights.
11. Consult with Sales and Customer Support Teams
These folks are on the front lines, interacting with your customers daily. They can provide insights like common questions, objections, and trends you won’t find anywhere else.
For instance, your sales team can tell you what objections they commonly hear from potential customers. In contrast, your customer support team can share current customer issues.
12. Geographic Considerations
Where your customers are located can be a big deal. If you’re a local business, you’ll want to focus your marketing efforts close to home, such as incorporating local SEO for your marketing strategy.
Although you’re an online business, geographic considerations can still play a role. Consider localized marketing campaigns or make a localized version of your website if many customers come from a specific region.
13. Evaluate Trends and Technology
The world is constantly changing, and it happens fast. You’ve got to keep up. Gain insights into emerging technologies and trends that could impact your industry. This act aims to add value to your customers and give you a competitive edge.
For example, if you’re in retail and discover that augmented reality is becoming a big deal, consider how you can incorporate that into your online shopping experience.
14. Refine Your Messaging
You’ve gathered all this data, created buyer personas, and segmented your audience. Now, it’s time to talk to them in a way that resonates.
Your messaging should be as specific as possible to address your target market’s needs and pain points.
Using a previous example, if you’ve identified that a segment of your audience is environmentally conscious, your messaging should highlight your brand’s sustainability efforts.
15. Monitor and Measure
This is where you find out if all your hard work is paying off. Monitor key performance indicators (KPIs) like conversion rates, customer lifetime value, and return on investment.
You’ve learned how to identify target market step by step. This know-how is a big deal for your business to talk to the right people in the right way. Now, you can make smarter choices for your brand.
Looking to boost your marketing efforts but don’t know where to start? Toombooh can help you. We offer top-notch content that really speaks to your target market and makes your brand the one people remember. Explore what Toombooh can do for you here!