Feeling the pressure to chase every opportunity? In today’s market, it’s tempting to try and grab everything that comes your way. But over the past two years, the most resilient companies have made a shift.

They’ve moved from “growth at all costs” to a more strategic, sustainable approach. It’s no longer about getting every lead, it’s about getting the right ones.

To stay focused, you need to be crystal clear on who to target and who to avoid. That’s why I put together this simple but powerful framework (thanks to AI) to help visualize it. Check out the example below.

This framework makes it easy to focus on the right customers:

• ► Green (center) – These are your best customers. Focus your time and energy here.
• ► Yellow (middle) – These are potential opportunities. Worth a closer look, but be selective.
• ► Red (outer) – Not the right fit. Avoid and save your resources.

For a deeper dive into how to evaluate and choose the best market segments using AI, I covered this topic here, https://lnkd.in/g3dwCDmh

Having a clear target strategy aligns your team, saves time, and ensures you’re not wasting effort on customers who aren’t profitable in the long run.

But how do you know if your targeting strategy needs work? Assess yourself on a scale of 1-5 (5 meaning you consistently do this all the time) for each of these 5 signs:

1. 1️⃣ You react to every competitor, even when it’s irrelevant. Not every competitor’s move matters. If you’re constantly responding, you might be chasing things that don’t serve your best-fit customers.
2. 2️⃣ Your marketing speaks to everyone, and connects with no one. Casting a wide net weakens your message. Focusing on a niche often leads to stronger, more meaningful engagement.
3. 3️⃣ You celebrate every new customer, regardless of fit or cost. More sales don’t always equal growth. Focus on customers that bring long-term value, not just short-term wins.
4. 4️⃣ Your star salespeople succeed by ignoring your “ideal customer” guidelines. When top performers win by breaking rules, it’s time to rethink those rules.
5. 5️⃣ Your product is guided by the loudest customers, not the best ones. Giving in to squeaky wheels, even if they’re not ideal customers, shows you’ve lost sight of who really matters.

If you scored 15 or higher, you might need to reconsider your approach.

Are you and your team aligned on who falls into your green, yellow, and red zones? How do you avoid the trap of chasing shiny objects? Let me know your thoughts below.

#Segmentation #CustomerTargeting #AI #Profitability #Claude GrowthPath Partners