You know with certainty that your current customers are interested in your offerings. You can discover a lot about your target market by analyzing them. What similarities do they share? What is it about your products or services that they appreciate? What commonalities can you find among your largest customers? Traits that are shared widely among your current customers point to traits you should be targeting in new customers.
Examining your competition is important for two reasons. It can help you further clarify the sorts of people that are purchasing in your industry. More importantly, it can help you avoid niche markets that are already saturated. A market segment that your competitors are effectively satisfying may not be fruitful for you. You may be better served defining a related, but distinct niche audience.
Stay updated! Subscribe to the ELISA weekly newsletter.