Updated: Sep 14, 2020
I recall working with a U.S. based member organization who serviced accountants in Latin America. When I began to work with the organization, they had already achieved a degree of success and had exposure in several countries. When I pressed them to define their Market Positioning, they immediately sensed limitations. I heard comments like “our members could be in any country, they could even live overseas”, “we can service almost anyone in our member organization”.
When defining Market Positioning it is common for leaders to feel restricted. However, it is the clarity that comes from the restriction that produces great rewards. At the end of our session, they defined their target market and prioritized two countries. As a result, the organization had focus and clarity, and their member rate increased 14% in the following 3-months. Liken Market Positioning to a sandbox. A sandbox provides boundaries for a child, yet allows limitless imagination within the box. Below are the different components when defining your Sandbox.
Geographic Area we Serve: If you are like my client above you might say, "I can serve anybody, it doesn't matter where they live. My product or service is not restrained by boundaries." That may be true, however, when defining your geographic area, consider what geographic area you would invest your time, energy, and resources.
Target Customer Segment: In this section, you identify who is your target client base. Use the following questions to guide you:
Demographics of your target client: age, gender, etc.
Level of education?
What do they like?
Their relationship status.
What do they do in their free time?
Where do they spend the extra money or extra time?
For B2B: is there a specific industry you service? What size of company?
Product or Service: You should describe your product or service concisely and confidently.
How do we go to Market: the go to market Strategy gets your product or service in front of your target customer segment. Use the following questions to guide you:
How and where can you get in front of your target customer segment?
Where can they test, trial, or taste my product/service?
Some ideas may include; Facebook Ads, Google Ads, email marketing campaigns, blog posts, hosting webinars, virtual events or courses, traditional flyers, mailers, promotional codes, radio etc.
Value Proposition: describes what value a person can expect after engaging with your product or service. What value are they receiving in exchange for the cost.
Defining your Market Position is the precursor to strategy. Companies that dedicated time to define their Market Position were able to derive their strategy with much more clarity. In addition, understanding the Market Position allows you to focus your efforts!
Below you'll find a free editable PDF that will help you define your sandbox, identify your target customer segment, define your product/service, your strategy of going to market, and your value proposition.
Need help processing and defining your Market Position? Click here to schedule a meeting and we’d be happy to discuss further.