Have you seen someone that entered business with high enthusiasm complaining after some months or years there is no market (sales)? What of someone his/her business thrived exceptionally, then suddenly profits nosedived because their customers deserted them? Market research is very important because paradigm shifts always happen in business. Your customers might be planning to leave you, your business ecosystem might change overnight, so don’t be caught napping.
- Uncontested market space: if you are trying to enter a business with intimidating competitors, it is very scary. The real truth is that no matter how big your competitor is, you can cut-off a reasonable slice of their market share with proper research. The loyalty of customers lies with who can provide a better and convenient service. The question of what does the customers really want? Can only be answered through a well-coordinated research, not by assumption. Get your fact, it is important.
- Ideas and insights: if you were to find out what is really driving your sales, what will you do? If you get an information about where 70% of your potential customers/clients visit, what will you do? Definitely you will position yourself. Sometimes your business or the business model you use is about to go into extinction. You can only find out through research.
- Maintain the pace – in case you don’t want to be proactive, try to monitor the changes in your business climate. Lookout for what your competitors are doing that you aren’t doing, follow them. A serious competitor might come and hit you below the belt. Remember the glory days of Mr. Biggs.
Next time I will talk about competitor analysis. In as much as there is no competition in life, ignoring your competitors in business is suicidal especially if you want to stay afloat and make good profits.