Market Research Is Your First Port of CallI
Is this a winning idea?
Of course it is, because you would buy it, I hear you say. But to succeed in business, you need to be able to easily manufacture and distribute the product and still make a profit on top of what that will cost.
Will people want or need your product enough to pay a price that means you are able to get it from the production stage into their homes and still have a healthy margin?
Before taking any action, market research will be key to finding the answers to these questions. Your idea may actually have been considered before, but was deemed not to be viable by another business-minded individual. Take a look at your competitors; are they offering anything similar to your idea?
What is unique about your product that means your business be able to sell more than them? If they’re not selling anything similar, then why not?
As well as researching your competitors, ensure that your target market is appropriate by seeking out potential customers and asking for their opinion.
The easiest way to achieve this is to organise a focus group in which you encourage individuals to give their frank judgement and ideas for how you may improve your product and tailor it (and its price) to their needs. Remember to discuss the packaging and branding that you have used, as you only get one chance to make a first impression and be remembered.
