Six Things to Consider for Your Target Markets
When developing a go-to-market strategy, it begins with a careful analysis of your target prospects. Too often, firms don’t spend enough time determining exactly which companies and organizations are the best fit.
Use these six questions to have a
Which clients are the best for us to work with?
Think about the clients you enjoy the most. They are likely the ones that are open to your ideas and take the initiative to follow through on improvements. They appreciate your skills. They actively seek your help. Make a list of these clients to start building a profile of the ideal client.
Who is the most profitable?
Look at your list of clients from a profit and loss standpoint. You will find that they often use two or more services and seek your assistance throughout the year. Determine a baseline of revenue between your most profitable and your average client engagement. Use that baseline number when prospecting.
Who is least profitable?
What is it about the least profitable clients that keeps you working with them? If they fit your criteria as enjoyable to work with and open to ideas, then you can build on that. If they are constantly questioning your work or your fees, they are taking up energy that you could spend seeking a better client relationship. Make a list of these clients and build a profile of least ideal client, so that anyone seeking new relationships knows exactly what to avoid.
Who is easy to work with?
Expanding on the previous question, we have all had clients that take up a ton of our energy and time but don’t experience progress, growth or change in their culture. You may have also had client contacts who are rude, condescending and resistant. Why are you still helping them? If it’s only about the money, have more confidence in your firm’s ability to find better clients that appreciate your expertise. Plus, you may be wasting more billable hours on them than is truly profitable anyway.
Which companies match our culture?
This question can only be answered if you are clear about your culture. What does your firm most value? Why does it really exist? Refer back to your best clients and look at their cultures. It will give you a sense of what you stand for, which will help you identify the right fit clients. It could also help you recruit talent.
What does success look like to them?
This is a great question to ask when prospecting as well as when starting a project. Get on the same page about the vision for success so that you can meet and even exceed expectations.
Get clear about the right clients for you. Not every prospect should get the opportunity to work with you and your smart people.
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