Starting a new venture can be very difficult for a budding entrepreneur. There is lots of pressure and financial constraints. And most importantly, the difficulty of traversing an entirely, new landscape…
Market Research: The key to success!
Why do most start-ups that begin with big dreams disappear over the horizon? The root cause behind it is lack of market research. You need to research about the market extensively and deeply before implementing your idea of starting your own venture.
You need to look if the market is ready for your idea, supply and demand chain, cost effectiveness etc. Proper market research is the seed on which your venture grows; you can’t afford the seed to be a rotten one.
Market research is critical for knowing the basics of your industry to stay ahead of the game. There will be up’s and down’s in a business but with proper market research you will always be better equipped to face them.
1) Primary Research – You should always start with analyzing your idea of venture, the current demand of your product in the market and most importantly your competition. Demand and supply goes hand in hand. The more demand there is in the market the more will be the supply and as a result your venture profit will also be more. Be aware not beware of your competition. Always think of something new and different from your competition and keep yourself ahead in the game.
2) Secondary Research – Secondary research is all about the data collection that you will need to analyze to further understand your market condition. Market reports, government surveys, census data, ratings reports etc., you will have to analyze every little detail.
Whatever the market it is you’re looking to get into, these secondary reports can help a great deal in knowing the market condition. Secondary research not only helps you understand the market better but it also gives you an idea of how much money you need to put into your venture and what profit you can expect.
Doing proper market research will not only help you gauge your competition in the market but also about the mistakes you can commit and the mistakes others have committed. It also gives you a broader picture of the pros and cons of starting your venture and whether the risk is worth taking or not.