If you are a company entering the B2B business model from scratch or looking to improve your product range to strengthen your current status, we recommend that you do not overlook the importance of setting a target market in B2B. The target market in B2B is the market that is likely to be interested in the products and services you offer for sale, has a high probability of purchasing, and represents the audience your company would like to work with. When the target market is determined, you will have the opportunity to take steps that will increase your chances of success by creating strategies in line with your own internal dynamics.
Definition and Strategies of Target Market Selection in B2B
In B2B, target market selection is the process of determining the target audience to market products and services in light of the data obtained and using the most appropriate strategy, which we will discuss below. After selecting the target market, you will be able to determine your potential competitors and assess their situation by narrowing the data obtained specifically for this group. It is possible to diversify your products and services by examining the products and services offered by your target audience and your competitors, and by identifying suitable gaps. As mentioned at the beginning, there are four widely accepted strategies applied for target market selection in B2B. To explain them briefly:
Single Market (Intensive Marketing) Strategy
This strategy targets only a segment of the market according to certain criteria, treating this segment as the target market. Marketing strategies are developed according to a single category and focus on individuals who are likely to show interest in the products and services offered in this category.
Multi-Market (Differentiated Marketing) Strategy
This strategy divides the market into segments and treats each of these segments as separate target markets. The primary goal of this strategy is to increase trade volume and profitability by offering products tailored to different audience groups. However, the biggest disadvantage of this strategy is that activities such as developing a separate marketing mix for each segment, conducting research, and performing engineering studies can significantly increase costs.
Whole Market (Undifferentiated Marketing) Strategy
Also known as an undifferentiated marketing strategy, this approach treats the entire market as a whole. B2B e-commerce platforms aiming to reach and sell to the widest possible audience often adopt this strategy. Although it is suitable for companies selling standard products, the target audience typically consists of individuals who are not seeking differentiation.
Niche Market (Narrow Segment Marketing) Strategy
In the niche market, which is the smallest unit of the market, a unique audience with specific needs is targeted. This market, often overlooked by large companies, can have a narrow volume and pose significant risks if not carefully managed.
Things to Consider During Target Market Selection in B2B
Observe the Conditions of the Target Market
The demands and needs of the individuals that make up the target market can change at any time. For this reason, to ensure the success of your B2B platform, you should consistently monitor these changes and regularly observe the conditions of the target market you have identified.
Examine the Competitors and Competition Conditions
After determining the target market, it is essential to analyze your competitors operating in that market. By examining the opportunities, product range, and past activities of your competitors, you can develop strategies for the future.
Evaluate the Features of Your Products and Services
Consider the features of your products and services that will make them stand out from your competitors and what innovations you can introduce. Remember that a product meeting today’s demands and needs may become obsolete in the near future, so taking proactive measures is crucial.
Pay Attention to the Expectations of the Target Audience
Customers are undoubtedly the key players in determining the future of your B2B platform. What are your customers' expectations of your company and your products? You need to be able to answer this question and design your products and services accordingly. This will increase both customer loyalty and the reliability of your company.
Thanks to the Trizbi B2B ERP software, you will have many tools at your disposal to help determine the target market in B2B. You can easily use the data provided by the various statistics and reporting modules offered by the software to identify the correct target market and take your B2B business one step further.
