Starting a business is difficult in any industry. There are almost too many market research resources available for aspiring entrepreneurs. Unfortunately, this abundance of information can make it challenging to identify the best market research sources for your startup.
To have a successful business, you need to clearly understand your target audience and the potential demand for your product or service. While market research may seem like an overwhelming task, it doesn’t have to be scary or stressful with the right preparation.
Market research is an essential process that can help you create a more effective business strategy from the beginning stages of your startup. Market research can also help you avoid common pitfalls that can trip up other startups along their journey. Here are eight resources that will help you with your market research for your startup!
What is Market Research?
Market research is discovering information about the market and potential customers of a product or service. Market research is essential before creating and launching any product or service. Market research helps you discover information relevant to your product or service, potential customers, and the competition. Market research is critical when creating a product or service, especially for startups. You will be limited in resources, time, and capital at this stage of your business.
You will gain valuable insight into your potential customers and the market by conducting thorough research. This insight can help you avoid costly mistakes and create a more effective strategy for your product or service. Remember, you may also need to use your market research findings to bolster your Business Plan. Why not look at our advisory article, Business Plans for Funding: 14 Great Tips, to help you on your way?
Define Your User Research Question
Before you begin your market research, you must define your research question. This question will guide your research and help you to identify the relevant sources and information. Not only will this help you narrow down the best market research sources, but it will also help you to stay focused and avoid becoming overwhelmed.
For example, let’s say you are creating a new app that connects people with tutors for their children. You want to know if your app idea is viable and worth pursuing. Your research question might be: Are parents willing to pay for an app that connects them with tutors for their children? Once you have your question, you can begin brainstorming other questions that will help you obtain more in-depth information.
For example, you might also want to know how many hours per week parents are willing to pay their child’s tutor. This will help you to determine the price for your app. These questions may vary depending on the type of app you create. However, having a clear, concise market research question can help narrow down the most relevant sources and information.
Market Research Resource 1: How to Conduct User Interviews
User interviews are an essential part of conducting user research. User interviews are when you interview your potential customers to discover information about their needs, wants, and desires. User interviews are a valuable tool to help you understand your potential customers and their needs. These interviews can be done in person or over the phone. Record your interviews so you can review them later and take notes. Your user interviews should be focused on the following questions:
- What problem are you solving?
- Who has that problem?
- How severe is the problem?
- Is there a need for your product or service?
- What are your customers’ desires?
- What are their expectations?
- What are their limitations?
- What are their sources of information?
- Who are your competitors, and what do they offer?
- What is your differentiation or advantage over the competition?
You can conduct user interviews in a variety of ways. You can create an online survey and ask your friends and family to participate. You can hire market research companies to conduct interviews for you and provide you with their findings.
Market Research Resource 2: Google Consumer Survey
When conducting your research online, you can use the Google Consumer Survey to determine what consumers think about your product or service idea. The Google Consumer Survey is free and easy to use. All you have to do is create a short survey, and Google will display it to people who qualify for your survey. This will allow you to collect valuable information from your target audience. Google is a trusted source that people visit daily.
Consumers will likely respond to your survey and provide honest and accurate feedback. The Google Consumer Survey also allows you to collect information about your demographic, like gender, age, location, and other factors. These critical pieces of information will help you tailor your product or service to your market. Before Google displays your survey to the public, it will filter the respondents for your survey based on the information you provide. This will ensure that your survey only receives responses from people who qualify for your survey.
Market Research Resource 3: Google Trends
Google Trends is an excellent resource for market research. Google Trends will help you discover how people are searching for certain products or services and the frequency of those searches. You can use Google Trends to discover how many people are searching for your product or service and how often they are searching for it. This information can help you determine your product or service’s potential demand and viability.
You can also use Google Trends to discover people’s search terms when looking for products and services like yours. This can help you develop a marketing strategy and decide on keywords for your marketing campaigns. The information you discover with Google Trends can be helpful in several ways. It can help you understand what your competitors are doing and what keywords bring the most traffic to their site.
It can also help you understand what terms you should use in your SEO and marketing campaigns. Google Trends also allows you to break down your searches by region. This can be helpful if you create a specific product or service for a certain location.
Market Research Resource 4: Startup Research Kit
The Startup Research Kit is an excellent resource to help you in your market research. CB Insights compile this kit, which features 14 tools to help you conduct thorough market research. You can use the tools in this kit to discover information about your potential customers, competitors, and the market. The tools found in the kit consist of survey tools, user analysis tools, social listening tools, and keyword tools.
They also include helpful tools to discover information about your competitors and their marketing strategy. The Startup Research Kit is a valuable resource that can help streamline your research process. It can also help you discover the information you may have missed or overlooked in your research. This kit will help you focus on the most relevant and important information to help you create a better product or service.
Market Research Resource 5: Qualitative Research
Although quantitative research is important, qualitative research can provide you with an even more in-depth look at your potential customers. This type of research is in-person or online focus groups. Qualitative research will help you to discover your customers’ motivations and desires in an intimate setting. This type of research allows you to ask open-ended questions and discover more in-depth information about your potential customers. The qualitative research you conduct can vary depending on the group you choose to participate in.
For example, you can choose to participate in an online focus group or an in-person focus group. Both options are excellent ways to gather valuable information about your potential customers and the market. You can also conduct in-person or online one-on-one interviews to discover more in-depth information about your potential customers.
Market Research Resource 6: Facebook Ads Research Tool
The Facebook Ads Research Tool is a valuable resource for market research. This tool will help you to discover how your target audience is currently using Facebook. You can use this tool to discover which type of posts receive the most engagement on Facebook and which posts receive the least engagement.
Facebook Ads Research Tool can help you discover your target audience’s keywords when searching for products or services like yours. This can help you to develop a strong keyword strategy for your marketing campaigns. The Facebook Ads Research Tool can also help you to discover the best time of day to post on Facebook. This can help you to determine when your audience is most engaged and when they are most likely to see your posts. This can help you to create a more effective and successful marketing strategy.
Market Research Resource 7: Ground Wars
Ground wars are face-to-face interactions with your potential customers. This can include visiting your local shopping centre, restaurant, or bar. Ground wars aim to observe your potential customers and discover how they interact with your product or service. This can help you discover the best ways to approach your customers and how they use your product or service “On the Ground”.