What is it and how to do a market study? A market study allows to know the key characteristics of the audience and competition before the launch of a service or product. You may also be interested in: Executive Master in Marketing, Sales and Digital Strategy Management We must first review the characteristics of the sector we want to enter, both before starting to invest in product development and in advertising campaigns or strategies . Without information, without data or without a study that allows us to know the possibilities we have, Philippines Phone Number List we will be risking too much, without being able to understand the real needs of people and without knowing the possibilities of success. As an approximate figure, of the total products that go on the market, only 20% of these are positioned. Whether it is due to the need for our own product or not, we are going to develop and see in this article an introduction about what a market study is . From its concept to the benefits that we will obtain and its costs. VIDEO What actions to prioritize for a recovering market Download INDEX OF CONTENTS What does it really mean? If we speak in economic terms and according to some sources, we can say that “market studies determine the viability of any economic activity.” The market study is the beginning and the previous foundations of any Marketing strategy .
We will analyze all the data to define among others: Position within the market of the product or service Most salient characteristics of supply and demand Audience segmentation Price analysis Possible distribution and marketing channels What is it for? The main objective of the market study is to validate the economic profitability. Demonstrating the viability of an activity will maximize profits from the start and even attract investment. Another of the relevant objectives of this study is to anticipate the possible response of customers and competition.
Differences with the concept of market research This point is a constant when we ask ourselves what should I do? There is usually confusion between study and market research. Both strategies are different, especially due to the stage in which each of them must be used. Market research is done BEFORE and market research AFTER. The market study as marketing initiative, collects and analyzes information from customers, suppliers and competitors. It is a strategy carried out before, in order to verify the viability of the venture and formulate (later) a business plan. In the case of a market research , it is a method to obtain the interpretation of commercial data. That is, it is done after the launch of a product or service (and with some maturity to be able to have consistent data).
Thus, the necessary forecasts and decisions will be made to improve the process. They can be used as resources: surveys, interviews and competition studies to collect the information. Steps to carry out a Market Study Among the needs that the study must cover we find: Market entry barriers or difficulties. The level of competition in each territory The objective of the product / service in the market The needs of the target within the market The special regulations in each country Segmentation For this reason, we have wanted to expand these needs that the market study must cover through the following steps. Define surveys It is convenient to dedicate the necessary time to formulate well the questions and details about which we want to know the answer.
The most appropriate methodology or survey must be selected that allows us to investigate and obtain the information we are looking for. Let us remember that, based on these results, conclusions and decision-making can be seriously affected. With the surveys we can know: If the product or service is really good The potential market The prices that the public is willing to pay Extra functionality or features to assess. Perform target audience segmentation The market study, as a result, will allow you to have an orientation when directing, for example , marketing campaigns on the total audience. You can know information as specific as possible, which allows segmenting the public. It can also be studied as the buyer persona construction methodology .
The behavior or moment. Competitor research Another of the highlights of a market study is knowing the competition in detail. You can learn a lot from their successes and mistakes. If they are where they are, it is because they have followed a few steps. The first thing is to know what other companies or professionals offer similar products or services. We want to analyze from them:Your work processes Observe your strengths and weaknesses Your customer service (we can even pretend to be one)Benefits or advantages of your product / serviceAnalyze the keys that have led him to be where he is. By analyzing the results well, you will be able to determine what cannot work or what does. Check existing market regulations Every project must have adequate legal advice and must be framed in the legislation and regulations of the geographical area that it intends to cover. Ignorance of the law does not exempt you from it, so if you are not sure, in this section it is better to consult a professional or office.
Techniques to collect and process all the informationIt is convenient to select the appropriate study techniques for the data. In principle, they can be of two types: qualitative and quantitative . If you require qualitative techniques , it is because you need to know the qualities, opinions or attitudes of consumers towards your product. That is, they are value judgments, not quantifiable. For example, what would be the conclusions through discussion or interview (personal or group). In the case of quantitative techniques , measurable data are required to be subjected to statistical study. They can be forms or questionnaires specifically designed to request an assessment in the form of a scale, and thus transform a qualitative opinion into a number that allows us to process it in a massive and automated way.