Here’s all the metrics you can improve by narrowing your market:
- Word of mouth / virality - When you have a clear, focused marketing message (e.g. “Volley is a community for entrepreneurs to help each other” vs. “Volley is a community for people to help each other”) it becomes easier to spread to the right people. I now might think to tell an entrepreneur friend about it if they need help, whereas before I didn’t link “Volley” with “Entrepreneurs” in my mind.
- Conversion rate - I’m more likely to sign up for a community for entrepreneurs than a site that lets people help people, because it’s more clear what kind of help I can expect to get and give.
- Activation - If you have a concentration of people who share similar needs and abilities, more requests will get fulfilled quicker than if there is a huge diversity of needs from different kinds of people. Basically, you can reach market liquidity faster. This will get more people to the “