The Market Intelligence Guide: How to Do Market Research & Competitive Analysis
Market research helps you find customers for your business. Competitive analysis helps you make your business unique. Combine them to find a competitive advantage for your small business.
To carry out such a plan of action, you must undertake the appropriate study, or that which addresses the crucial issues and fundamental tenets upon which the legitimacy of any such report hinges.
Our team has fitched and prepared some of them, which are considered the primary criteria for conducting such a study:
- Market size: How many people would be interested in your offering?
- Economic indicators: what is the income range and employment rate?
- Pricing: What do potential clients pay for these services?
- Market saturation: How many similar options are already available to consumers?
You’ll also want to keep up with the latest business trends. It’s important to gain a sense of the specific market share that will impact your profits. With international markets escalating at the fast pace of innovation and expansion, it becomes a necessity rather than a need.
You can do market research using existing sources, or you can do the research yourself and go direct to consumers of the service or competitors.
Although using pre-existing sources can save you a ton of time and effort, the data may not be as targeted to your audience as you’d like. Use it to respond to general and quantitative inquiries about service consumption and demand, industry trends, and demographics.
Use competitive analysis to find a market advantage.
You may learn from businesses that are vying for your potential clients through competitive analysis, which is crucial for identifying a competitive advantage that generates long-term revenue.
Note that several industries might be competing to serve the same market you’re targeting, which is quite vivid with increasing demand for various new agile and innovative service providers. One way to differentiate your competitive analysis is by openly studying your industry. Essential factors to consider include the level of competition; the threat of new competitors or services; and the effect of suppliers and customers on price. Take into account these factors as well:
- Market share
- Strengths and weaknesses
- Your window of opportunity to enter the market
- The importance of your target market to your competitors
- Any barriers that may hinder you as you enter the market
- Indirect or secondary competitors who may impact your success