In Ryan Levesque’s book Ask, he explains that a lucrative market must have 5 main elements to it. His other book Choose explains that businesses serve people. So, whatever enterprise you operate, first ask yourself the question, “Whom do you desire to serve?” It is by understanding clearly what really matters to your target market and giving it to them in the way they want to receive it that you build a lucrative market.
The Five Elements Of A Lucrative Market According to Ryan
A successful business is built on a sound foundation. I like the way Ryan does things and you might, too. Here are the 5 “Must Haves” Ryan recommends to run a business in a lucrative market.
- The market must be evergreen. If you don’t know what “evergreen” means, you can substitute the word with classic or timeless. For example, food is an evergreen market.Why? No matter when you are operating a business with humans, even in the year 2800, we all must put food into our bodies to fuel them. So, food is an example of an evergreen market.
- The second element for running a successful business is that the market must be very enthusiastic. Enthusiasts in a market are also consumers for years and years in that arena. There are associations, clubs, groups, conferences, conventions and opportunities in them to subscribe or become a member of them. THAT is what enthusiasts means. Enthusiasts are customers that are repeat buyers. For example, think about musicians. Die-hard musicians such as people who buy and play stringed instruments are repeat buyers. Pets is another lucrative market. It is necessary to do your research first and THEN you can know which market is something you would LOVE to serve. It is much easier to be a business success when you LOVE doing what you do.
- The third element for running a successful business in a lucrative market is that your market audience MUST have an urgent problem needing to be solved. The problem feels threatening or causes the market to feel stuck and unable to live a satisfying life. For example, urgent problems might be getting effective relief from chronic pain, getting your child to sleep through the night, a dog peeing on the rug (in the dog market). It is a HUGE problem as perceived by your market.
- The fourth ingredient in this recipe for successfully running a company in a lucrative market is that the market must have future problems. When you solve the first horrible problem, you then become their trusted advisor for life.
- The fifth must have for running a successful business is choosing to serve people who spend a disproportionate amount of their income in that area of their life. For example, golf. Serious golfers spend a disproportionately high about of money on all things golf such as equipment, trips, instruction, vacations and so forth. Once you run your business with these 5 elements, you are much more likely to be operating in a lucrative market.