By Tabitha David
This past Tuesday night I had the privilege of attending a session within the series Entrepreneur 101 which is hosted by MaRS Discovery District . The topic of discussion for this particular presentation was Market Analysis. The presenters were Usha Srinivasan and Daniel Colquhoun who highlighted the importance of analysing both your market as well as your potential customers.
Market Analysis is a critical step for start-ups so that they can be well informed about the environment that they are about to launch their product or service into. Three things to research about the market are as follows:
- Market intelligence: Figure out what products and services are already successful in the marketplace that relate to your venture. Is your idea a copycat, complimentary, or contrary to existing businesses?
- Market Size: Take a look at who may be your potential customers, and how many of them exist. You also want to narrow down your market to your geographical region to better target potential clients.
- Industry within the Market: To find out what industry may be a good fit for your product or service research where investments are being made. You may also want to consider the barriers or lack of barriers that are involved in a potential industry you may want to enter.
Customer Analysis is another part of market analysis that is often times over looked; however, the customer’s values and emotions play a big role in whether a product or service is successful. Two things to research about customers are as follows:
- Pricing: It’s important to outline the benefits of your product or service clearly and see how it aligns with what people are willing to pay for them.
- Communication: Different people understand information in different ways. Think about how your potential customers receive messages and what channels will be most effective in delivering them.
How do you begin to answer these questions?
- Online resources: USPTO and WIPO
- Speak directly to customers to get their opinions on your product and the market
- Contact professionals in the business of market analysis for an expert opinion
The presentation overall was highly engaging and informative. MaRS Discovery District has also uploaded the slideshow here . If you would like assistance in analysing the market we can help. Please feel free to contact us for further information.
2 Responses to Analysing your market and customer can be crucial for B2B Start-ups
Very valid points. Intelligence & intelligent gathering and analysis is vital. New and richer avenues open up. This is really a continuous process in most fields to sustain/stay on top. At times though… Govt policies harm planning quite a bit.
Thank you for your comment. I completely agree with the fact that you must continually be researching about your market and your customers. After all, the the rate in which any industry is moving is staggering especially with sales and marketing and the integration of social media. In terms of government policies, yes, sometimes it is difficult to obtain the information that is needed to get a full understand of the industry. However, there are a number of sources that are becoming available that make it easier to get information on companies and their procedures mainly public companies.
Appreciate the comment.
Tabitha