Compiling a targeting strategy for a home remodeling company requires dividing the potential market into segments based on commonalities, selecting the segments with the best sales prospects and devising the most appropriate product and methods with which to approach each target segment. Statistics from market research organizations can provide you with the number of people who fall into each of the categories you identify.
Segmenting the Market
Segmentation involves identifying the group or groups of prospective customers that are most likely to need home remodeling services. This enables you to create a targeted, strategic marketing program. Visualize your company’s ideal customer, based on identifying demographic factors such as age group, income, marital status and home ownership. For example, students renting their first studio apartment are unlikely to need home remodeling, so segmentation should eliminate them as a group. Break the larger segments up into subsets based on specific needs.