Before starting any type of business venture, it is very important to determine whether there is really a market for the product or service you are offering or none.
Many new entrepreneurs bypass market research because they do not want to hear any negative feedback. However, this step is essential in product development as it provides relevant information in identifying and analysing the market need, size and competition.
Having comprehensive and detailed information of your target market provides a huge interface of information regarding our soon-to-be and existing customers, the competition, and the industry itself. Data collection can either be through surveys or focus group discussions.
To study your market well, you need an in-depth observation of your prospected clients. Therefore, conducting interview also plays a vital role. You can use an interview guide protocol or even a checklist so that you will be able to recognise your customers/consumers’ needs. In addition to that, you are able to listen to people, analyse the gathered information to help your business make better decisions and to reduce the risk. It is about analysing and interpreting data that can be used to predict future events, actions or behaviours.
By focusing our efforts to the right markets, your business can get quicker results, greater overall performance from marketing campaigns and improved efficiency.
If you want to learn how to conduct a market research, check out this post: http://www.wikihow.com/Conduct-Market-Research