Target Simple Over Cool

A discussion about why targeting "simple" customers in middle America often leads to better business outcomes than chasing trendy coastal demographics.

Key Customer Demographics to Target

  • Overweight, overworked moms in Texas vs coastal millennials
  • Middle America women ages 30-60 show highest loyalty and lowest churn
  • Middle-aged customers with disposable income but limited time
  • Customers with established buying habits and brand loyalty
  • People outside major coastal cities

Why These Demographics Work Better

  • Higher customer retention rates
  • More loyal once they commit to a product/service
  • Less finicky about trying new things
  • Harder to convert initially but stick around longer
  • Make decisions more deliberately and stay committed

Real World Examples

  • Quilting Industry ($4.5B market)

    • Average quilter spends $8-9k per year
    • Highly targetable (99% on Facebook)
    • Strong community aspect (retreats, shows, local shops)
    • Multiple 9-figure subscription businesses
  • Applebee's Strategy

    • Targets "Jim Bob" demographic (50s-70s with money)
    • Creates artificial neighborhood connection
    • Customers overlook food quality for community feeling
    • Represents stability in changing times

Business Approach

  • Start with premium pricing then move down

    • Easier than starting cheap and raising prices
    • Exception: freemium models work differently
  • Focus on Simple Value Props

    • Avoid chasing trends
    • Build on established behaviors
    • Target stable, long-term needs
    • Solve basic problems well

Common Mistakes

  • Building for cool coastal millennials
  • Chasing fads instead of stable markets
  • Overlooking middle America demographics
  • Being too focused on innovation vs solving basic needs
  • Assuming coastal preferences reflect broader market
SP

Shaan Puri

Host of MFM

Shaan Puri is the Chairman and Co-Founder of The Milk Road. He previously worked at Twitch as a Senior Director of Product, Mobile Gaming, and Emerging Markets. He also attended Duke University.

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Restaurateur
E-commerce