Market Research Of The Project Leader

Once the entrepreneur has an idea of an activity to start a business, he will have to make sure that the market he wants to launch meets his expectations. For this, it is necessary to carry out a market study.

It’s possible to do this step entirely by the contractor himself, but it is also possible to be assisted, in whole or in part, by a professional in the field.

The objectives of the market study

It will be here for the entrepreneur to ensure that his project can be commercially feasible. It is difficult to imagine starting a business in a declining sector, unprofitable or hyper-competitive by large companies.

An answer will have to be provided, thanks to the market research, to the following central questions:

Concerning the sector and its regulation

What is the regulation applicable to this sector of activity? Are there specific tax provisions?

How is the market doing and what are its prospects?

What are the latest innovations in this sector?

Is the market regular or are there seasonal events?

Regarding Demand

What are the characteristics of the targeted clientele? (geographical area, consumption habits, income, the age of the population …);

What are the needs of the community and their motivation to buy?

What are their preferences? What do they think of the offer offered by competitors? What could be improved? (These questions are important because they can help you stand out from your future competitors);

About The Offer

What are the existing products on the market?

Who are my main competitors? (size of the company, turnover, geographic location …)

How are my main competitors? (commercial policy, an organization of the distribution, targeted clientele …)

The Different Types Of Market Research

Two main approaches exist for the realization of a market study: the quantitative approach and the qualitative approach. We will also discuss the documentary approach.

Quantitative Market Research

The quantitative market study is essentially based on statistics, key figures, about a market, a branch of activity, a sector. The information obtained will be global.

This market research technique will quantify and measure information. The problem is that this large panel may not be sufficiently precise, unlike a qualitative study.

For more information: quantitative market research .…

Qualitative Market Study

The qualitative market study is much smaller than the quantitative study but will be much more thorough.

The objective here is to reduce the sample queried but to increase the number of information collected. We will try to find out more about consumer behavior, what they are looking for first, what they like or do not like, the improvements they would like to find on a particular product or service …

The qualitative study can therefore be likened to an in-depth exploration of the demand that will obtain a lot of information. In return, the sample is relatively small and therefore less representative than a quantitative study.

Ultimately, the idea is to couple a quantitative study with a qualitative study, but this will require more time and / or more money.

The Market Research Documentary

The market research documentary will be done only through searches for documents providing information on the market in question. These include industry reports, interviews and articles, and documentation in professional organizations.

Pitfalls To Avoid A Market Study

A well-conducted market study must make it possible to perfectly identify the needs of the customers belonging to the targeted catchment area, to learn about the main players in the desired market and to analyze the future prospects of the desired sector.

Thus, When Carrying Out The Market Study, It Is Important Not To:

Neglecting the step of analyzing demand in the target market: poor knowledge of the needs and behavior of your potential future customers is detrimental;

Do not correctly delineate the next catchment area. If a market study is conducted at the national level and the company ultimately offers its products or services only in its locality, the risk of failure will be higher because the behavior of a population located in one place A will not be the same as that of the population located at a place B;

Neglecting the analysis of competition¬† : it is imperative to know your future competitors, prices, products and services they offer and their qualities, their commercial policy, their distribution networks … Without this, how can one know if it is possible to find a place on the market and to offer an offer equivalent or superior to the others?

Ignore the regulation of the sector: it would be a shame to set up a business plan and realize late that one does not meet the requirements imposed by law to act on a particular market.

The three pillars of market research ( supply, demand and the environment ) must be analyzed with the utmost care. We can not study the needs of consumers by ignoring what is already offered by existing companies, analyze a market by not caring about the regulations that apply to it …

Tools For Conducting A Market Study

By searching on the internet, you will be able to come across a multitude of offers, which will range from the complete realization of the market research (the most expensive solution) to the purchase of report or pre-established document.

Two parameters will have to be taken into account by the contractor to choose the solution to adapt to realize his market study:

What budget do you want to give to do the market research?

Would you like to get involved in the realization of the market study?

Where possible, the idea is to get involved as much as possible personally in the realization of the market study. This will allow you:

To Make Significant Savings In The Business Creation Phase;

And above all, to get involved in the study of the market in which the future company will operate.

One of the essential elements for the success of a business creation lies in the perfect knowledge of the sector of activity in which one intervenes, which is unfortunately not always the case in practice.