You might have wondered about the reason shop owners ask for your mobile number and email on your first visit; or why for you to be able to connect to the Wi-Fi in a restaurant, you have to login through your Facebook or Instagram account. This is not only to keep sending you messages and promotional emails and increase the numbers of followers on social media, it is also part of the market research for each industry. Conducting a market research is an essential step before starting your business and while running it. Whether your business is 50 years old or not on the ground yet, studying the market of the service/product you will be providing will be part of the process throughout.
Market research identifies your market, measures its size and assesses its competition. Today, there are companies specializing in conducting market research for existing businesses. For instance, mystery shopping is one industry that has emerged as a creative, comprehensive and accurate tool to gauge the quality of the products and services offered by multiple competing businesses.
Why market research is necessary before starting your business
We mentioned in a previous blog a few points to take into consideration to help you decide whether your business idea is valid. Market research helps set reliable expectations for the business by predicting the market size, potential customers and how fierce your competitors will be. The results of the market research will assist you in assessing the volume of production. Also, it will tell you the value you need to add to your products and services to draw customers towards you.
Why market research is necessary while running your business
Don’t take your customers for granted. There is always a chance your most loyal customers will abandon your product for another that better matches their needs or one that exceeds them! This is when conducting a market research will help save your business. Maintaining the quality of your products/services at the same degree doesn’t maintain the success of it. You have to communicate with your customers and let them tell you what they need. Showing customers that you care about their opinion makes them trust you, thus building loyalty.
If you are planning to start a business, make sure to tick off market research as a primary strategy to succeed in your venture. By the same token, if you are a business owner, keep your customers happy by asking them for feedback. This is the part where you can get creative and invent new methods to conduct your market research!