I have been consulting with a fellow student with a startup on the topic of marketing and branding, and it reminded me of the realities of making the decision to target a specific segment and delivering a single minded benefit. Why is it so difficult?
1. Companies feel that if you target one segment, you are leaving money on the table
2. Business cases do not take into consideration the positive effect on other segments if you are single minded in your message
3. Companies feel that it is less risky to broadly target a $1 bn market than to specifically target a $100 million market
But what is the reality?
1. If you target more than 1 segment, you are confusing the customer
2. Business cases should not be the end all be all
3. It is more risky if you are ambiguous. If you are broad and general, you don't stand for anything.
Stop compromising and pick a segment your product or service can best deliver the benefit! You may then find out that your final plan may in reality impact more than 1segment!!! Actually I am positive that will happen. A crisp clear message appeals to many more than you think.