Selling Crochet: 7 Steps to Your Target Audience

This 7 Step Target Audience guide will assist you in identifying your customer and the products they choose to buy so you can generate the sales you need to make a profit.

Remember yesterday’s post by Michelle Gallagher? In step 6 she mentioned that you need to market your wares to the right people outside of Etsy. This is where knowing who your ideal customer or target audience comes into play. It is your key to unlocking sales.

You’re excited about selling your crochet as a way to earn some extra income for your family. Before you start why not take time to do a bit of market research? It will save you from disappointment and countless headaches.

Having a product or idea that YOU think will do well is not enough to start or especially grow a business.

image: lisasolonynko via morguefile.com

Before you start

While we all want to grow our businesses as painlessly as possible, there is some important homework to be done first in order to see the paths and avenues to take when trying to gain traction for a product, service, and build long term customers so sales can happen.

Two links to help you understand that people do things for their reasons’s not yours, how to understand how to target and acquire paying customers. http://bit.ly/Wyh6FF and http://bit.ly/Xfmo8g. Regards, Neil Licht, Herweare  ~ Before You Launch Your business Idea Inc.com [1 ]

The Benefits of Knowing Your Target Audience

• Help identify your ideal customer
• Determine the current market for your product
• Identify growing trends
• Help Quantify the Return on Your Investment

1. Don’t Assume Anything

Before you set up shop find out if 1)there is a demand for your product and 2)if the current economy can sustain your business. Don’t assume that there is a market for your product. Investigate, gather data, and analyze the information.

2. Research Trade Publications

Grab some fashion magazines, newspapers, and other trade publications. With your notebook and pen in hand get to snooping.

IMPORTANT: Unless you are selling to the diy-crafter DO NOT research their buying patterns go outside of the crochet bubble. 

Think instead about who will be buying your product.

For the teen market, try TeenVogue, and Seventeen magazines.

For skiers try  Skiing Business or Ski Magazine

3. Channel your inner Oprah

Put your investigator hat on and interview potential sources. This would include your local chamber of commerce, vendors at craft shows, and industry associations like the Crochet Guild of America, Craft Yarn Council, Craft and Hobby Association, The National Needle Arts Association, and crafts report.

• What trends do they see happening?
• How big is the audience for local craft fairs?
• What is the average profit of vendors at these fairs?
• What are the demographics of the attendees?

 “In my opinion, in the U.S. and the western world there is a backlash now. Brand names were really popular in the 80s and 90s, but now I think people are kind of tired of that — they want something that’s more tailored to them,” Etsy’s spokesman  [2 ]

4. Do Your Own Analysis

Here is where reality collides with the daydreamer. It is fantastic that your family and friends love your work BUT they can not sustain your business. You need to know the potential profitability of your enterprise.

Will you sell online or via a brick and mortar store? Explore various locations observing how much traffic your potential site receives.

Put together a survey and note the answers of your sample. Question local and online consumers. You want to know their specific preferences regarding your product.

5. Know Your Competition

Your competition can help you hone in on a unique market within your overall group. Don’t just look into one or two businesses. You want a wide range of information.  Compare price, quality, selection, reputation, location, and stability.

The future could be one of thriving cottage industries and skilled artisans lovingly producing custom-made wares. ~ A crafty way to beat the chain stores by Mark Tutton for CNN [3]

6. Economics is Your New Best Friend

You know the information your ‘inner Oprah’ gathered? Get that and answer the following questions:

• How big is your total market?
• Of this total number how much will you have?
• Is there currently a demand for your product?
• Is there projected growth?

7. Pinpoint Your Target Audience

Niche is your little corner of the overall market.

For instance, Kim Sofia makes creepy zombie and horror flick amigurumi. [4]  Her niche is very defined. Not everyone who loves crocheted collectibles will want her creepy creations. Perfect, exactly what she needs to make this profitable for her.

High demand and low supply makes her product a viable commodity even in a down-turned economy.

Once you determine your nook answer the following questions for each group of customers. i.e. moms, grandmoms, students, designers, collectors, crafters,

• Age:
• Gender:
• Location: Local, National, Worldwide
• Income:
• Occupation:
• Class: (low – high)
• Education:

Review

Now you have all the information you need to determine whether selling crochet will be a lucrative business for you. Here’s a handy worksheet to help you with your customer profiles. (no opt-in required)

1. Don’t Assume Anything
2. Research Trade Publications
3. Channel Your Inner Oprah
4. Do Your Own Analysis
5. Know Your Competition
6. Economics is Your New Best Friend
7. Pinpoint Your Target Audience

 Have you identified your target market? Yes or No? Leave a comment below

Sources:

• Before You Launch Your Business Idea via Inc.com – comment by Neil Licht http://www.inc.com/scott-gerber/what-to-do-before-you-launch-a-business-idea.html?nav=pop [1]
• A Crafty Way to Beat the Chain Stores via CNN by Mark Tutton http://www.cnn.com/2008/TECH/science/09/18/craft.revival/[2] [3]