Market Research

Before starting a business, carry out a market study is essential. The methodology of market research is simple: you can make it yourself.

1- Successful market study delivers a detailed knowledge of your environment and the customers you want to reach. First determine the questions it must answer:

* what product (definition, value, market price...);

* for which customers;

* which marketing and sales strategy;

* what places of production and sales.

2- Then you define your competitive environment. Competitors may be direct or indirect:

* a direct competitor sells the same product as you;

* an indirect competitor sells a product that occupies the same market.

3- After identifying competitors, study their sales methods, their market share.

Search the information using the available documentation:

* specialized press;

* websites;

* documentation centers of trade chambers, of commerce;

* directories and repertory;

* market players, that you can query.

Customer identification must be both quantitative and qualitative. You must determine the number of potential customers and their expectations.

4- For this stage of the market research, customer questionnaire can be a useful tool. It asks simple questions about consumer habits and must be submitted to a representative sample selected by the quota method.

You can also make customized individual meetings that allow greater responsiveness. More qualitative, they are more difficult to organize and take much more time.

5- From the gathered information, you can reach conclusions:

* the risks and chances of success;

* threats and opportunities;

* preferred sales methods;

* market constraints.

Write a summary report outlining the findings: it should help you make the right decisions for your future business. Be concise, precise and clear.

You must be able to establish a plan from this market research and convince hierarchy, investors and bankers.

Check the viability of his idea through market research

To find out if a business project is viable or how to redesign a business idea, it is essential to carry out a market study.

Then it will work on:

=> the business plan,

=> the objects of the company,

=> its name,

=> its trade name.

Market research: a sometimes overlooked step

Market research is a must in any business project. Although market research does not guarantee that a creative idea is 100% good, it can:

=> better orientate,

=> and reduce risk by having some knowledge of the environment in which you want to start a business.

It thus gives an idea of ​​the commercial feasibility of project by studying:

=> players already in the market,

=> market trends,

=> customer and needs.

How to achieve market research ?

Market research is to collect relevant information from different resources.

Who performs market research ?

It is performed by:

=> the aspiring entrepreneur himself,

=> or a specialized company.

In both cases, in order to have a clear view of the project, it is important to be involved in the realization of market research.

Ideally, it is performed a few months before the start of intended activity: the time varies depending on the nature and complexity of the project.

Market research: several phases

Market research must be carried out methodically. It includes several steps:

- Information gathering: documentary and statistical research with various organizations and media.

- Survey of its surroundings but also a public sample viewed by the activity of the company.

- Observation of the various market players.

- Synthesis and analysis of information and results.

- Writing a market research report.