Market profile – General information about the market including that of purchasers and competitors, often also including the economic and retailing scenario of the area is what market profile consists of. Market profile helps a company to devise its marketing strategies. It is extremely important for any company to understand and analyze a market profile before entering a new market or with a new product.
Customer Profile – Customer profile is a description of the customer based on various parameters like psychographics, demographics, behavioral, etc. It is done to better understand one’s target customer on what they need, what they value, where they come from, where they buy from etc. so as to devise better and more focused marketing strategies.
Five simple steps to create a customer profile are:-
a) Describe your customer – Understand who your ideal customers are and what characteristics they possess in terms of psychographics, demographics and behavioral parameters.
b) Locate your customer – Find out where your customer goes, where he hangs out, which sites he visits etc.
c) Understand their purchasing process – review the buying process they go through in terms of how they understand their needs, how do they research about products, how do you evaluate the options, when they decide to buy etc.
d) Connect with current customers – In case you are already operating, make an attempt to better understand your current ideal customer and try to know on why he bought your product, why he thinks is your product/service better than your competitor’s etc.
e) Create client profiles (Personas) – Create profile that define specific segments of your clients and make sure that the profiles are tangible so that one can envision actual ideal customers from the profile.