Target Market

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Dictionary Says

Definition of 'Target Market'


The consumers a company wants to sell its products and services to, and to whom it directs its marketing efforts. Identifying the target market is an essential step in the development of a marketing plan. A target market can be separated from the market as a whole by geography, buying power and demographics, as well as by psychographics.
Investopedia Says

Investopedia explains 'Target Market'


Not all products and services are meant for all types of consumers. In fact, companies may tweak certain aspects of a product, such as the amount of sugar in a soft drink, so that it is more likely to be purchased by consumers with varying tastes. Creating the target market may require the use of limited product roll-outs and focus groups, allowing product managers to get a feel for which aspects of the product are the strongest.
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