entrep

2. GOALS/OBJECTIVES
Identify a target market by
understanding your
customers.
Research your market using
primary and secondary data.

3. WHAT IS A TARGET MARKET?
The target market is the
individuals or companies that
are interested in a particular
product or service and are
willing and able to pay for it.

4. Refers to a group of potential customers to
whom a company wants to sell its products
and services. Target markets are generally
categorized by age, location, income, and
lifestyle. Defining a specific target market
allows a company to home in on specific
market factors to reach and connect with
customers through sales and marketing
efforts.

5. Available Market
- Defined as the number of
people who are both willing
and capable of buying a
particular product or service in a
particular market.

6. Penetrated Market
- A set of customers or clients who are
already using a particular product or
service. A penetrated market means
that the potential users of a product or
service are aware of it, and in many
cases are active consumers of it.

7. Need
A motivating force that compels action for
its satisfaction. Needs range from basic
survival needs (common to all human
beings) satisfied by necessities, to cultural,
intellectual, and social needs (varying from
place to place and age group to age group)
satisfied by necessaries.

8. Market
A market is a place where
two parties can gather to
facilitate the exchange of
goods and services.

9. UNDERSTAND YOUR CUSTOMER
Customers are the people who buy the
products and services companies offer.
Customers buy goods and services to
satisfy economic wants and needs.
An economic want is an unfilled desire of a
customer.
An economic need is anything that is required to
live.

10. Your market consists of:

11. Existing customers
People who have
already purchased your
product.

12. Prospects
People who have not yet
purchased your product
but are considering it.

13. Target market users
People in your target
market who are not
currently looking for a
solution.

14. DEMOGRAPHICS AND
PSYCHOGRAPHICS

15. Demographics
are data that describe a group
of people in terms of their age,
marital status, family size,
ethnicity, gender, profession,
education, and income.

16. Psychographics
are data that describe a group
of people in terms of their
tastes, opinions, personality
traits, and lifestyle habits.

17. IDENTIFY YOUR TARGET MARKET
1. Who are my customers: individuals or companies?
2. If customers are individuals:
How old are they?
How much money do they earn?
Where do they live?
How do they spend their time and money?
3. If customers are companies:
What industries are they in?
Where are those industries located?

18. IDENTIFY YOUR TARGET MARKET
4. What needs or wants will my product or
service satisfy?
5. How many potential customers live in
the area in which I want to operate?
6. Where do these potential customers
currently buy the products or services I
want to sell them?

19. IDENTIFY YOUR TARGET MARKET
7. What price are they willing to pay
for my products or services?
8. What can I do for my customers
that other companies are not
already doing for them?

20. Determining your Target Market
Why is it important to
determine who your
target market is?

21. UNDERSTAND THE COMPETITION
Knowing about your
competition will help you
define your target market.

22. UNDERSTAND THE COMPETITION

23. MARKET RESEARCH
Market research is a system
for collecting, recording, and
analyzing information about
customers, competitors, goods,
and services.

24. MARKET RESEARCH
Must be carefully analyzed
so that incorrect decisions
are not made

25. SECONDARY DATA
Secondary data is data
found in already published
sources.

26. PRIMARY DATA
Primary data is information
collected for the very first time to fit a
specific purpose.
Questionnaire or survey
Observation
Focus groups

27. Difference between
Primary and Secondary
market research data

28. Secondary data is found in published
sources
Primary data is information that is
collected for the first time to fit a
specific purpose

29. DESIGN A SURVEY
Length of questionnaire
Questions
Clear
Easy to answer
Only important questions

30. DESIGN A SURVEY
It is important to define the
question you want your market
research to answer other wise
you might conduct research on
the wrong issue.

31. Questionnaire
A good questionnaire is:
 Clear
Relevant questions that are easy to answer
People are more inclined to answer short
questionnaires because they don’t take
much time.

33. Activity 1. Read and analyze the statements below about “Market”.
Determine whether the statement is TRUE OR FALSE. Write TRUE
if the statement is correct and write FALSE if otherwise. Write your
answer in the space provided.
1. A market is any place where two or
more parties can meet to engage in an economic
transaction – and should only involve legal tender.
2. Market includes retail stores and other
similar business that sell individual items to
wholesale markets selling goods to other
distributors but may not be virtual.

34. 3. Market refers to the whole
area of operation of demand and supply.
4. A market signifies any
arrangement in which the sale and
purchase of goods take place.
5. The market establishes the
prices for goods and other services.

35. Activity 2. Read and analyze the given
situations below. Identify whether this refers to
existing customer, prospects, or target
market users.
1. Students need to buy a tablet/laptop for
school requirements.
2. Ana used to buy shampoo.
3. Households living in a remote area.
4. Martha, a call center agent, needs Wi- Fi.

36. 5.Karlo, a factory worker, needs transportation.
6.Arlene, a student of a public school, needs mobile
data in order to comply with the school requirements.
7. Hospitals need facemasks and PPEs.
8.Mike, a sari-sari store owner, wants to go online
selling.
9.Jeep drivers need to modify their jeeps for public
transportation.
10.Ella needs to buy her vitamin C to boost her immune
system.

37. As would-be Entrepreneur, you are tasked
to identify your dreamed business, one that
involves your interests. Indicate who are
your potential market, target market,
available market and/orpenetrated market.