Right from mapping the future of your organization to support growth and secure funding, a business plan is a key start for any business structure. When you begin working on the plan, more emphasis is given to Market Analysis section keeping the intended target group in mind.
In any form of business, market research builds a foundation for your business plan. Before we get into Market Analysis section, let’s get an overview of our target audience first.
Understanding your Target Group
For an in-depth examination of the target market, the first step involves outlining your target market. Be it a local business or dealing in the international market, you must understand where exactly are the potential customers who would be interested your product or service.
Your potential customers are not one and the same and hence they will not have the same level of interest in the product or service you are offering. Thus, after getting a tentative view of your TG, you will have to segment it in the following way.
● Behavioral segmentation
● Geographic location segmentation climate.
● Demographic segmentation
● Psychographic segmentation
Market Analysis Section
Following the above information of your detailed market research report, write Market Analysis for further headway of your business plan. Make sure you write it in paragraphs using appropriate headings for each of them. You can even number them if you have several target markets. State sources of the statistics or opinions you have gathered wherever necessary. It helps to understand your analysis better when your fellow colleagues are reading it. You would many online market reports.
Online Tools for Market Research
● Google Keyword Planner
● Google Trends
● Social media
Doing Your Own Market Research
You’ll find many websites who conduct market report surveys and offer industry analysis. Having said that, you may want to do your own market research. The market research with this method majorly relies on primary data. Keep following
● Draft your survey or market research questionnaire taking into account the target audience
● Don’t make your survey unnecessarily lengthy. Keep your questionnaire to the point.
● Make sure the there’s opportunity for detailed answers as well.
● Frame your market research recording techniques as per the requirement of industry analysis
● Be clear about the criteria to classify targeted audience.
Doing your market research becomes time-consuming and the accuracy of reports cannot be assured. Although a business plan is essential if the company expects to have validity and for that, market research is required. Your product might be one of a kind and perhaps, offering the best product or service in the world, but you will have to sell your product where potential customers in need of it. If not, develop a need for the product. Be it anything, market research would be a key element in any organization.
If your team doesn’t have the needed research skills to define your target market yourself, hiring a professional consultant or searching online market report would always be advisable.