Business Development Services 1 Who’s your customer? Session 3

Business Development Services 2  Define your customer  Define your target market  Identify and list ways to reach your target market  Research costs to reach your target market  Determine your customer relationship Session objectives

Business Development Services 3 Market:  A place where people and businesses (buyers and sellers) come together to buy and sell products and services. E.g. farmers market, stock market, real estate market, etc. Market - definition

Business Development Services 4  Customer attributes are the characteristics of your customer.  Customer attributes can be used to describe your customer Customer attributes - definition

Business Development Services 5  Your target market is the group of customers that you will direct your sales & marketing efforts to.  You can describe your target market using the group of customer attributes you have identified. Target market

Business Development Services 6 Target market Buys every week Health conscious Between years old Lives in Winnipeg Makes over $35,000 No kids A target market : energy drink

Business Development Services 7  Who would buy my product/service? Is there something they have in common?  Who would not buy my product/service? Is there something they have in common?  Is anyone buying now? What are they like? Finding customer attributes

Business Development Services 8  Gender  Age  Culture  Buying habits  Marital status  Location  Number of children  Annual Income  Lifestyle (e.g. golfer) Common customer attributes

Business Development Services 9 How can knowing customer attributes help a business sell its product / service? Question:

Business Development Services 10 Who do you need to tell about your product/service? Question:

Business Development Services 11 To reach her target market, Maria decides to put flyers in every mailbox in her neighbourhood. All-Natural Doggie Treats

Business Development Services 12 Marketing is: The broad range activities that a business uses to promote its company name and products/services. What is marketing?

Business Development Services 13  P____________ is the actual goods/services you provide, including their features, benefits and unique value proposition.  P ___________ is what you charge for your product/service.  P ___________ is where you do business, or where your product/service is available  P ___________ is all the ways you let your target market know about your product/service  P____________ is everyone who works for your business. They make sure that everyone has a positive experience using your business. The 5 Ps

Business Development Services 14  Product is the actual goods/services you provide, including their features, benefits and unique value proposition.  Price How much will you charge for your product/service.  Place is where you do business, or where your product/service is available  Promotion is all the ways you let your target market know about your product/service  People is everyone who works for your business. They make sure that everyone has a positive experience using your business. The 5 Ps

Business Development Services 15  Sales is part of the 5Ps.  Can you guess where it fits? Sales

Business Development Services 16  Sales is about business development through personal relationships  Some activities cost money. Most take time.  Feasibility planning focuses on activities that cost money. Sales

Business Development Services 17  Prospecting  One-on-one meetings  Cold calls  Presentations  Association memberships  Networking events  Trade shows  Partnering with other businesses Sales activities

Business Development Services 18 Once you’ve reached your target market, and they know about your great new product/service…  How do they buy it?  Can they buy it from you directly or do they have to go to a store? Your customer relationship

Business Development Services 19  B2C = Business to customer  B2B = Business to business  Sometimes, a business may have two customers (a business, and the end customer) B2C & B2B

Business Development Services 20 B2C & B2B

Business Development Services 21 Why is it important to figure out what your annual (yearly) sales will be? Question

Business Development Services 22 Maria uses her customer attributes & market research information to estimate her target market size. All-Natural Doggie Treats Manitoba households448,780 Dog owners (35%)? Selects healthy options (2%)? What’s her target market size?