Transcript Market research

ENPI MODULE 2
Research Your Idea
WHAT IS MARKET RESEARCH?
• Market research: an organized way to
gather and analyze information needed to
make business decision
UNDERSTANDING
YOUR MARKET
• 3 Main Areas of Market Research Focus
– Business Environment: social, economic, or
political factors that could impact your business;
tends to be industry specific
– Customers: individual consumers or businesses;
successful businesses will satisfy customer wants
and needs while making a profit
– Competition: identify who your competitors are
and how they operate
MARKET RESEARCH METHODS
• Primary Research – new information that
is collected for a particular purpose
(obtained directly from potential
customers)
– Pros: up to date and focused
– Cons: expensive and time intense
– Sources: interviews/surveys, focus groups,
observations
MARKET RESEARCH METHODS
• Secondary Research – existing
information that was previously gathered
for a purpose other than the study at hand
– Pros: cheap and easy to obtain
– Cons: too general
– Sources: Government, trade groups and
journals, business magazines and reports,
local community resources
SECONDARY MARKET
RESEARCH
data that has been collected; available
for you to use
 Bureau of Economic Analysis
 Bureau of Labor Statistics
 Census Bureau
 FedStats
 State Government
 Local Government
 Demographic, Geographic data
 Example:
Fairfax County Demographic Information
Resource: Government
• Association related to particular industry
• American Society of Association Executives
(ASAE)
• How do I find a trade association for my
industry?
• Google your industry + trade association
• Example: If I want to find an association that relates to my cake
business, I can search baking + trade association and I find
http://www.americanbakers.org/
Resource: Trade Groups/Journals
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Forbes
American City Business Journals
Entrepreneur Magazine
Fast Company
Dun and Bradstreet
BizStats
Businessweek
Inc
Resource: Business Magazines
• Chamber of Commerce
– Fairfax County
– Vienna-Tysons Regional (Marshall)
– Dulles Regional (Chantilly)
• Business Development Authority
• Community Colleges
• Example:
Fairfax County Chamber of Commerce
Resources: Local Community
Locating your TARGET MARKET –Who are
your customers?
• Target Market- a limited number of
customers who are most likely to buy your
product or service
• Market Segmentation- grouping of
consumers or businesses within a
particular market that has one or more
things in common
SEGMENTING YOUR MARKET
• Demographics – age, gender, marital status, family size,
ethnicity, occupation, income
• Geographics- basing market segments on where
consumers live or where businesses are located
• Psychographics- attitudes, opinions, beliefs, interests,
personality, lifestyle, political affiliation and personal
preference
• Buying patterns (consumer behavior)- what, how much
and how often do people buy
CREATING CUSTOMER PROFILES
• Customer Profile- organized snapshot of
who your customer/target market is
– Demographics
– Geographics
– Psychographics
– Buying Patterns
CUSTOMER PROFILE ASSIGNMENT
100 points
1. Copy (paste into a blank presentation) and use
information you’ve researched about your target
market to complete the chart on the next slide
2. Create a photo collage that visually depicts your
Customer Profile. You should include pictures from the
4 ways to segment your market. Your slide should be
filled from corner to corner.
3. Submit both your chart and picture collage (in one file)
to Blackboard and save as
lastname________customerprofile.
Company Name: ________________
DEMOGRAPHICS
(AGE, GENDER, MARITAL STATUS, FAMILY
SIZE, ETHNIC BACKGROUND, EDUCATION,
OCCUPATION, ANNUAL INCOME)
GEOGRAPHICS
(WHERE DOES YOUR CUSTOMER LIVE?)
PSYCHOGRAPHICS
(ATTITUDES, OPINIONS, BELIEFS,
INTERESTS, PERSONALITY, LIFESTYLE,
POLITICAL AFFILIATION…)
BUYING PATTERNS
(WHERE DO THEY SHOP? WHAT DO THEY
BUY? HOW OFTEN DO THEY SHOP? HOW
MUCH DO THEY SPEND?)