You wouldn’t think a beauty company selling cosmetics would have anything in common with a hotel and casino business, but that is where you would be wrong. The reality is that there are lots of very successful businesses out there that share the same thing in common, but what is it?
What they share in common is simple, yet incredibly powerful. Those businesses that totally immerse themselves in this area are likely to be far more successful than their competitors that don’t. It’s not complicated, but often ignored; the power of which is most often underestimated.
The common key to the success of the beauty company Glossier and Wynn Resorts and Casinos is that they both have gone out of their way to understand their target audience. By understanding their target audience, they have given them what they have wanted, rather than what they as a company may have wanted to give them.
Too often companies’ have an ethos centred on delivering to the market what they want, rather than what their target market actually wants. They may even argue that the market doesn’t really know what they want, but they do! A lot of businesses may feel that they listen to their target audience, but do they truly? Do they delve deeply, or just superficially?
Glossier started as the blog “Into the Gloss”, which gave them a strong connection to their target audience. In designing their cosmetics, they have gathered feedback from their target audience across all platforms along with inviting people to provide specific detail on what they want from their various cosmetics. Glossier has then created their product lines based on that specific feedback. The net result? Waiting lists for products. In 2018 their product Boy Brow was selling every 32 seconds and today the business has a valuation of over $1.8 billion.
What about Wynn Resorts and Casinos? Their most profitable product is the game of Baccarat, so their goal is to attract as many Baccarat players as possible. How have they done that? By understanding the persona of their target market and catering to their needs. The net result? They provide people with luxurious surroundings and amenities. They may charge for them, but that is not where they make their money. They may even offer them at a discount or for free because the real money is in getting them to play Baccarat. Incidentally, the founder of Wynn Resorts and Casinos has amassed a $3 Billion fortune with this approach!
There is a big difference in outcome from generally knowing what your clients want and truly knowing what they want. Get to know your target clients intimately and design your business around them. Stay connected to them and evolve your offering as required.
Commit yourself to developing an intimate knowledge of your target clients and you too will meet with great success!
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