Getting Started: Defining Your Ideal Customer

ideal customerWhen looking for the highest level of profitability and largest margins, knowing who your ideal customer is will greatly benefit you.

Knowing your ideal customer allows you to focus your attention and budget on the consumers or companies that are most likely to buy your product or service.

When determining who your ideal customer is, you must first know and understand what your product is. By analyzing your product to determine its function or what problems it solves, you gain a better view of who may find a use for it. Keep in mind that you may have a different ideal customer for each of your products or services.

Once you have determined where your product fits in the market, you can focus on the characteristics of someone who would use the product. For instance, if you sell winter tires then your consumers will likely live where it snows.

However, there are many different types of winter tires that you sell. So, let’s say you are really trying to sell more performance winter tires.

Sure, anyone who lives where it snows could indeed buy performance winter tires. But the ideal customer for this product would be someone who drives a performance vehicle or sports car and can afford the premium for your tires.

Through this type of thinking, we have narrowed our efforts from marketing to a larger population to a smaller, more defined audience. This allows us to channel our marketing budget towards this specific group and increase our overall ROI.

When determining your ideal customer, you can be as specific or as general as you choose. However, you should have some level of specificity in order for it to be useful.

After you have developed your ideal customer, you can then create a buyer persona. In order to effectively market to your ideal customer, you have to think like they do and purchase the way that they would purchase.

For instance, in our performance winter tire example, the ideal customer likely shops online instead of in person. This means that your online presence should be strong. Focus on sharing useful information with your ideal customer through essential digital marketing channels.

Define your ideal customer by asking questions like these from Autopilot.

  1. Where are they located?
  2. Where do they get their information?
  3. What are their goals and priorities?
  4. What is their budget?
  5. What is their preferred method of shopping

In defining your ideal customer and creating a buyer persona, you will improve the efficiency of your marketing efforts and increase your ROI.  


About the Author
Derek Minich recently graduated from the University of North Florida with a B.B.A in Marketing and a B.S in Psychology. His primary areas of interest are marketing analytics and marketing research. When Derek is not learning and apply his marketing skills, he goes on hikes with his dog Gunner.


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