The job is to find not the right customers for your products but the right products for your customers. The key is to achieve organizational goals that are more effective than the competitors in creating, delivering, and communicating superior customer value to your target markets. The company should know about their customer’s most important values.
The Entrepreneur should know about the affordability and acceptability which is the extent to which a company’s product offering exceeds customer satisfaction. And also, the measure to which customers in the target market are able and willing to pay the product’s price.
Jeff Bezos is the greatest entrepreneur of the times who follows many of the below-mentioned principles.
Target Market and Demographic Segmentation
Target market and demographic segmentation can be done by conducting surveys and interviews of interested people to eliminate any kind of cognitive biases. Here are the criteria of segmentation that should be focused on.
The early majority and innovators are more likely to adopt such changes in technology at hand. So invest for them in the first place. Then explore the rest of the audience’s interest.
The target audience should belong to specific target groups of both genders. Not generalize the products to everyone.
The target market of the product should not be nationwide.
Company Orientation Towards Market Place
Almost all of the consumers want to add more innovative features in their daily use appliances so they can make a positive difference in their lives. Your brand should be largely focused on the needs of its customers. Be more aware of the wants of customers.
Just like me, if you have also read about Sheldon Inwentash ThreeD Capital then you are likely to perform well in the entrepreneurial world.
Setting Up the Pricing
The product pricing process is challenging because the company searches for the set of prices that maximizes profits, the product has demand and cost interrelationship and is subject to different degrees of competition.
The prices of such premium products are set with the consumer affluence. The rising of affluence indicates that the consumers are willing to pay for the convenience, appearance, dependability, and prestige of the product.
The factor of pricing also depends upon the new features introduced which made the product price go up a bit but this should be set keeping in view the target audience. Moreover, the prices are set based on many other factors that include:
- What the people in the market are willing to pay.
- How the company and product are perceived in the market.
- What the competitors charge.
- Whether the product is “highly visible” and frequently shopped and compared.
- The estimated volume of product that a company can sell.
If you are an entrepreneur browse here to get better details just like every other entrepreneur does- Sheldon Inwentash ThreeD Capital.
Final Thoughts
Entrepreneurial ventures that went very successful have taken into account all the challenges that could come forth. Do not stand still, try to innovate keeping in view the affordable prices.
