Target Marketing- Good or Bad

Target Marketing is part of the qualified market that a company decides to peruse (Kotler and Keller). Defining a target market helps a business’s marketing strategy to actually start being effective. Having a target marketplace makes a company much more focused and much more referable (Guille).

Target marketing is not a new concept but it yields a great debate. Many argue that it is a mere form of stereotyping while others feel it’s a key role to a successful business strategy. My stance on the issue is that it’s a key role in business. For a business to be successful, it must know the needs of their customers, their likes and dislikes, and the opportunity for growth in the chosen location.

Consumer behavior is the study of how individuals, groups, and organizations select, buy, use, and dispose of goods, services, ideas, or experiences to satisfy their needs and wants. Consumer buying behavior is influenced by three factors. The first is cultural, then social, and last, personal. Cultural factors, which exert the broadest and deepest influence, are the fundamental determinant of a person’s wants and behavior. Social factors are those like family, and social roles having an effect on buying behavior. Personal factors that influence a buyer’s decision include age and stage in the life cycle, occupation, and economic circumstances (Kotler and Keller).

Let’s say a company is deciding on opening a business in a certain location. The company has extensive research done, and realizes that in the specific area chosen, due to the many of the factors that influence buying behavior, they can capitalize and earn a profit; the company should definitely do so. This should be done whether or not it may be offensive to some that the company is profiting from stereotypical behavior or not. While it’s sad to admit, stereotyping is out there, and is it really stereotyping, when the buying behavior exists? It’s a sad truth that certain minority groups will “flock” to certain purchases. A company being smart and realizing this type of behavior is being just that, smart and profitable.

It is critical to have a target market, especially if you are just starting your business, or if you