How to Conduct Market Research by lfsmj2010


									How to Conduct Market Research
Market research is an important activity for every business to engage in.
1Determine your target market. A target market is the group or groups of
people you will be promoting, advertising, and ultimately selling your
product to. To find your market, you should begin by answering some
simple questions:<What are the demographics of the area you are competing
Who will buy your products based on price?
What is the age range?
Males or females (or both)?
Are they single or married? Do they have kids?
What kind of lifestyle does your product relate to? Is it everyday use,
specific to times of the year or to specific activities?

2Have the marketing manager and marketing researcher define the problem
carefully and agree on research objectives.
3Have the researcher help the manager to define the problem and suggest
ways that research can help manager to take better decision.
4Take the data you have collected and analyze it to figure out the
specific groups within the market you are going to actively pursue as
clients and customers.
5Develop a plan for gathering information efficiently.
6Present the plan to marketing management.
7Have the Marketing manager research the cost of research plan before
approving it.
8Once you figure out your target market, make an effort to reach out to
this group and find out what they think about your product. This is the
heart of market research, and there are many ways to do it.Qualitative
research is more exploratory and anecdotal. It is a good way to find out
the kinds of feelings and needs people have about your product or
service, but it is not statistically representative. Methods include
focus groups and in-depth interviews. You could go to a skate park and
ask skaters what they think of the logo and newspaper ad you have
designed for your skateboard store.
Quantitative research gets you solid statistics you can base your
financial plans on. Surveys can be conducted by phone, in person, by
mail, or on-line. The key to getting good research is to get a truly
representative, random sample of your target market. For example, you
wouldn't try to survey rich people by hanging out at the check cashing

9After doing the research, the findings have to be analysed and
interpreted. The findings can be interpreted in charts and tables.
10Lastly, the marketing manager has to present the findings well and give
his decisions after the research. This is a very important step as it is
taken into consideration for future decisions. This is known as product
11Product testing can be done once you have a product and want to try it
out on people. For example, give people samples of cookies made with two
recipes you are considering. Let them take home your new broom and
dustpan to see if it works on the kind of floor they have.<

There is sometimes more than one target market. Finding new markets is a
great way to expand your business.
If you don't have much of a budget, look first for reports that are free
and available on the net. Also look for reports that have been published
by your industry association or in trade magazines (magazines for
professional hairstylists, plumbers, plastic toy manufacturers, etc.)
You might be able to get local university students to take on your
research as a class project. Contact the professor who teaches a
marketing research class and ask them if they have such a program. You
may have to pay a small fee, but it will be less than a professional
research firm.
If you are making decisions that will cost you a lot of money if you are
wrong, invest in a professional market research consultant. Get bids from
a few.

<Related wikiHows
How to Do Qualitative Research
How to Create a Brand Positioning for a Small Business
How to Increase Trade Show Traffic With Trade Show Giveaways
How to Build-Your-Business-Without-Advertising
How to Market and Sell a Product Cheaply
How to Be an Analyst

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