Whether you want to found a company or successfully lead an innovative project, market exploration is an essential step. The basic aim of this study is to quickly determine the information needed to identify your business opportunities to rapidly launch your product onto the market.
Not carrying out a market research study is a little like:
- Buying a house without visiting the area
- Organizing a get-together at your home without inviting anyone
- Or going on vacation to a tropical island and packing woolen sweaters
There are many reasons to carry out an exploratory market research :
1. Checking the existence of the market
I.e. discovering if there are people ready to pay for your product or service. This is the best way to reduce any doubts you may have.
2. Identifying clients
Checking that your target clients really exist, exist in sufficient numbers, and are accessible and solvent. Use your study to collect expressions of interest, as this is an excellent opportunity to obtain qualified leads.
3. Determining the fields of application or potential applications
Knowing your field of application is good, but being able to identify others is even better. This solution can open many potential opportunities that you may never have thought of.
4. Determining a price
This approach consists of checking the prices used by your competitors, and looking at your own profitability targets. To do this, it can be helpful to carry out field surveys on the price, and to identify the value perceived by your end customers. Remember, the right price is the one that your customers are willing to pay.
5. Limiting risks
Did you know that the most common cause of failure of a company or project is a poorly evaluated marketing and sales strategy? This is why they are essential to the success of your project! A market research will enable you to easily determine the most suitable markets and those you should completely avoid. Remember: “A good study always costs less than a bad decision!”
Which brings us to our final point…
6. Making the right decision
It’s good to make a decision, but always better to make the right one, which is the purpose of this market research. You may have imagined, or even designed, your innovation, and whilst you may see it clearly in your head, it might not be viable or suitable. Launch without a definite idea of your potential market and you may quickly end in failure, whether you’re a young startup or a large company.
The tense economic conditions of recent times prove once again that uncertainty cannot have a place in our activities. If you think that these exploratory studies can be complex, difficult, and take time to conduct, something that only “marketing professionals” can take on, it’s time to shake off that notion! New marketing techniques are constantly being developed, such as the automated market exploration. These new techniques enable any type of project to be equipped with a powerful tool that adds to the speed and effectiveness of your decisions.
Worth a try, don’t you think?