Marketing plan is a detailed document that outlines the methods and ways through which the objectives and goals of the business would be attained for future success. It contains all the activities to be done in the business within a specific time in order to meet the objectives of the organization. Marketing plan should cover all the people involved in the business and should cover a specific time frame. For small business, you should define a plan that consists of medium term future. You should look at your target market whereby for small business, customers come and go. You should locate who you want your business to benefit. Understand well the people who you would be available for your goods and services. Understand even your competitors in order to take the competitive advantage. Have a clear understanding of the environment you are operation in to be able to evaluate internal and external factors affecting the business. Follow your marketing plan very strictly (Jarratt & Polonsky, 2008).
Demographics are the people who avail themselves for your products and services. These people have their characteristics which include age, value of the income, the level of their household and also their status. This contributes much to your business as per purchasing power. Demographics therefore help the business owner to understand those who purchase goods and services in your organization. Psychographics are also important people within the business whereby they go beyond the external characteristics by portraying their behaviors and lifestyle on the products and services in the market. They help the business owner to understand the reason as to why the people are buying your goods and services. They give clear understanding whether they are buying the goods because of high productivity and whether the goods benefit them. Demographics are able to give meaning of external characteristics to the business like the age and the race whereas psychographics helps understand internal characteristics of the customers like altitudes (Jarratt & Polonsky, 2008).
In conclusion, these two attributes have great impact in the business. This is because they give the direction and help to correct the challenges found in the business. Understanding the demographics and psychographics will enable the business owner to be free to advertise market and sell the goods and services with confidence. You will be able to understand where the target market is located and what to improve in order to motivate them buy more your products and services. Understanding the demographics and psychographics will impact on the whole business by promoting the success of the business. This is through clear understanding of the target market and the source of media to use in order to reach the customers (Miller & Kim, 2009).
Jarratt, D. G., & Polonsky, M. J. (2008). Causal linkages between psychographic and demographic determinants of outshopping behaviour. International Review of Retail, Distribution and Consumer Research, 3(3), 303-319.
Miller, N. J., & Kim, S. (2009). The importance of older consumers to small business survival: Evidence from rural Iowa. Journal of Small Business Management, 37(4), 1.
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