Market Research: No Matter How Good Your Product

Market Research Whyno Matter How Good Your Product And Your Service

Market research - Why? No matter how good your product and your service, the venture cannot succeed without effective marketing. And this begins with careful, systematic research. It is very dangerous to assume that you already know about your intended market. You need to do market research to make sure you’re on track.

Use the business planning process as your opportunity to uncover data and to question your marketing efforts. Your time will be well spent. Market research - How? There are two kinds of market research: primary and secondary. Secondary research means using published information such as industry profiles, trade journals, newspapers, magazines, census data, and demographic profiles.

This type of information is available in public libraries, industry associations, chambers of commerce, from vendors who sell to your industry, and from government agencies. Start with your local library. Most librarians are pleased to guide you through their business data collection. You will be amazed at what is there. There are more online sources than you could possibly use.

Your chamber of commerce has good information on the local area. Trade associations and trade publications often have excellent industry-specific data. Primary research means gathering your own data. For example, you could do your own traffic count at a proposed location, use the yellow pages to identify competitors, and do surveys or focus-group interviews to learn about consumer preferences. Professional market research can be very costly, but there are many books that show small business owners how to do effective research themselves.

In your marketing plan, be as specific as possible; give statistics, numbers, and sources. The marketing plan will be the basis, later on, of the all-important sales projection.

Paper For Above instruction

Market research is an essential component of successful marketing strategies, regardless of the quality of a product or service. Entrepreneurs and business owners often underestimate the importance of systematic research in understanding their target markets and making informed decisions. Effective market research helps to minimize risks, identify opportunities, and tailor marketing efforts to meet consumer needs and preferences.

There are two main types of market research: secondary and primary. Secondary research involves collecting existing data from published sources such as industry reports, trade journals, government publications, demographic profiles, and trade associations. These sources provide valuable insights into industry trends, market sizes, customer demographics, and competitive landscapes. For small businesses, local libraries and chambers of commerce can be invaluable starting points for accessing publicly available data. Online databases and government websites further expand accessible sources of information, often containing comprehensive and up-to-date statistics that inform strategic planning.

Primary research, on the other hand, consists of gathering new data directly from potential customers or competitors. This method includes conducting surveys, focus groups, traffic counts, and competitor analysis. Primary research allows entrepreneurs to obtain specific insights into consumer behaviors, preferences, and unmet needs. For example, observing foot traffic at a proposed business location or interviewing potential customers can yield valuable data that shapes product offerings, pricing, and marketing channels.

Cost considerations are vital when selecting research methods. Professional market research firms can be expensive; however, small business owners can perform effective research themselves using guides and books dedicated to affordable marketing techniques. By actively engaging in both secondary and primary research, entrepreneurs can develop a comprehensive understanding of their market environment, enabling them to craft targeted marketing plans.

The marketing plan should incorporate concrete data, including statistics, numerical forecasts, and identifiable sources. Such detailed information provides a solid foundation for sales projections, aids in resource allocation, and enhances the credibility of the business plan. Ultimately, systematic market research reduces uncertainty, informs strategic decision-making, and increases the likelihood of business success in competitive markets.

References

• Burns, A. C., & Bush, R. F. (2014). Marketing Research (7th ed.). Pearson.
• Cooper, D. R., & Schindler, P. S. (2014). Business Research Methods (12th ed.). McGraw-Hill Education.
• Kotler, P., & Keller, K. L. (2016). Marketing Management (15th ed.). Pearson.
• Malhotra, N. K., & Birks, D. F. (2017). Marketing Research: An Applied Approach (5th ed.). Pearson.
• Saunders, M., Lewis, P., & Thornhill, A. (2016). Research Methods for Business Students (7th ed.). Pearson.
• Burns, A. C., & Gentry, J. W. (2017). Market research: An integrated approach (3rd ed.). Sage Publications.
• Ranchhod, A. (2013). Market research in practice. John Wiley & Sons.
• Fischer, S., & Morgenthaler, S. (2018). Small Business Market Research Techniques. Routledge.
• Wandel, M. (2018). Using Data to Improve Small Business Marketing Strategies. Journal of Small Business & Entrepreneurship.
• U.S. Census Bureau. (2023). Demographic Profiles. https://www.census.gov