The triumph of a product or a service that you plan to launch depends exclusively on how well it fits in the market and market needs. Will your target audience accept the product or not? This is the question that market research helps startups to answer.
With all the product promotion costs, expenses for advertising the product and the general effect of a product launch on your startup brand, it is crucial to know every possible information for your target audience. And to know it way ahead before launching the product.
Starting a market research process will provide your startup with some distinctive insights about your target audience. And that will give you the necessary edge when pitching your product, not just to the consumers, but to investors too.
Market research helps startups with customer feedback
According to statistics provided from Help Scout, in most of the cases, negative feedback is provided by only 4 percent of the dissatisfied customers. What this says is that when someone complains about your product or service, there are tons of others that are not satisfied. And not complaining about. And what do the non-complainers do?
You guessed it! They ditch your product or service and go to your competitors.
A goal of every startup shouldn’t be just to disrupt the market. Companies that are starting out should keep the consumer’s happiness in mind too. So if your goal is to make your future customers happy with your product, you need to find out what they want and need. And you need to know how to sell that to them.
With the help of market research, your startup can connect with your future customers right before you launch your product. And create a positive image for your brand too in the process.
Market research helps startups to reduce business expenses
By investing in a market research process in the starting phase of your company, you can immediately reduce the general expenses of your startup.
Those who already develop a product know best. You need to consider every expense for your product components, the packaging, actual manufacturing of the product and for the product’s marketing.
If you’re introducing a new software, you must know how to spread the voice for your new service. These campaigns will cost you money. When doing market research for your product, your future customers will give you feedback on every aspect of your product.
You should look at market research as a test. A test to see if your product has some general flaws or if it would face problems when launching in the marketplace.
More about market research in our FREE e-book here:
Market research helps startups in developing new product ideas
This is true. Market research does not provide you only with a feedback for the product that you’re planning to launch. You will also gain some valuable insights that you can use to grow your business in the future.
You can also find out what are the emerging trends in your market before your competition hears about them. Furthermore, you’re going to use this information to sit down with your team and develop new and improved solutions for your customers.
By knowing what your target audience considers important, you can easily pick the best approach when launching your product. You will know exactly what kind of tone to use when promoting the product on different channels. And you’ll know the best way to address your target market’s problems.
As a startup, it is critical to gain an advantage over your competitors in the market. You need to be one hundred percent certain that you’re doing the right decision when launching your product or service. Once you have the data, you can decide if you need to make some changes with your product and with your marketing plan as well.
Without researching the market, you put your startup’s existence at risk. You may spend thousands on developing a product, only to find that there is no interest for it.
Having difficulties with understanding your target market? Here’s our 6-step approach to help you out.
Thank you for your attention. If you are an Entrepreneur that wants to start a business or own a company that wants to expand, wants to successfully identify trends and competitors and better understand his clients but still not sure where to begin, BizzBee is here to guide you through the steps that will help you differentiate from your competition. Our expertise is in working with Entrepreneurs and Start-ups and we can guide you throughout the entire process.
Dancho is a serial entrepreneur, founder & CEO of BizzBee Solutions, proud father of two boys, and a ‘kafana’ enthusiast. He’s also the author of Amazon’s bestseller, ‘Sweet Leads.’ Dancho believes in building relationships with people and is inspired by growth. His ‘ZZ framework’ and formula for growth have brought 500+ clients the results they sought.
Eager to learn more? Follow Dancho on LinkedIn and Facebook.