Market Research Study
“If I had asked my customers what they wanted,
they would have said a faster horse.”
– Henry Ford
What is a Market Research Study?
A market research study evaluates the market potential of a business idea. A market research study aims to determine the size, growth rate, and market opportunity structure. Understanding market dynamics is essential to startup success.
The challenge in new and emerging markets is that the customer may not articulate their needs. Therefore you need to be a skilled detective to sort through the clues. I have more than a decade of startup experience working in new and emerging markets. I also have a track record of correctly identifying emerging trends and market opportunities.
Frequently Asked Questions
WHY WOULD YOU CONDUCT A MARKET RESEARCH STUDY?
The study is usually a good first step to test if there is a market for your new product or service. The purpose is to gain insights into the opportunity’s size and scale for your idea.
WHAT ARE THE KEY QUESTIONS YOU WANT TO ANSWER IN A MARKET RESEARCH STUDY?
Who are your competitors, and what are their strengths & weaknesses?
How is the business ecosystem structured?
Where are the market opportunities and risks?
What are the overall trends, size, and prospects for the market?
Who is your target customer?
We meet once or twice a month for an hour(ish) to discuss your business. You bring the agenda and issues; I bring a decade of experience, critical thinking, and thoughtful questions.
WHAT ARE THE KEY TOOLS USED TO CONDUCT A MARKET RESEARCH STUDY
Competitive analysis is usually the best place to start. Everyone has competitors, and odds are they have already done a lot of the market analysis. If you think you don’t have competitors, you are either a genius or a fool. But, of course, the genius path seems less likely. 😉
A stakeholder mapping shows how stakeholders within the business ecosystem interrelate. Stakeholders include competitors, potential collaborators, and customers. When you understand stakeholder dynamics, it helps you make pragmatic decisions on the best path to market.
A value chain analysis will show you the financial dynamics of a market or a complex business ecosystem. Understanding the value chain is extremely important in determining where the money and margin are in an industry. Some of the best advice I ever received was “go where the money is.” If you know your industry value chain, you will see where the money is.
WHAT RESULTS CAN I EXPECT?
The market research study is a presentation/report (your call) that includes; a summary of competitors, partners, and the business ecosystem structure. You will have a good understanding of the overall business ecosystem dynamics, value chain, and potential paths to market. The presentation and report will provide an unbiased assessment to evaluate your business opportunity’s risk and uncertainty.