Target markets research – a description of a certain group of people to whom it is planned to sell a product or service.
Market research on target audience is sequential actions to collect information about markets or consumers. It is a very important component in developing a business strategy. Customer research process should be distinguished from marketing research, since marketing research refers to the target marketing research, while market research refers only to markets.
Customer research should answer the questions of what consumers want, what they need, what they trust. The target of market research may also include a study of consumer actions, behavior at various stages of the buying process, etc.
When starting a new business, the following are especially important:
The main market information is the prices of suppliers of the market under study, the situation of supply and demand. Such information should be obtained from independent sources, in various formats.
Market segmentation is the division of the market into subgroups, united by one or more essential features. The following segmentations are often used: geographical, gender, demographic, etc.
It is necessary to take into account trends in the growth or fall of the studied market in a certain period. It is quite difficult to estimate the size of the market when starting a new business, since historical statistics and expert data of insiders are necessary. In this case, you can try to get derived figures from the number of potential consumers, dividing them into segments.
The universal sequence of any market analysis:
Make a presentation on market analysis.