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Market research reveals industry opportunities

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Market research is for businesses that want to stand out from the crowd, catch the consumer’s attention and satisfy an unfulfilled need or want. No doubt, you have a marketing strategy in place to attract customers – market research is the tool to formulate a successful marketing strategy that not only attracts but satisfies and retains the customer as well.

Seek and you will find

Independently surveying your market is one cost-effective way to gauge consumer reaction to your product and brand.

Melbourne-based Millie & More, creator of the premium Moxie tampon brand, conducted their own initial research in the market to identify the niches in the industry in 2005.

“Initially the research was very amateur. To be honest, a lot of what Moxie is today was based on what I thought, on how I felt it should be from my own experiences and knowing my own girlfriends’ experiences,” says Mia Klitsas, director and co-founder of Millie & More.

 “Up until now, these types of products have been deemed quite clinical and it was all about hiding them, being discreet and with dark packaging. We just thought, ‘well, we have to carry it all the time, so let’s create something that’s just a bit nice’,” she says. “We wanted to create a product that was of really excellent quality but also was a bit feminine and stylish and a little bit fashionable.”

The finished product, including Moxie’s signature candy-striped and black-bowed tampon tin container, was a success. The products are now sold in New Zealand, UK and the US, as well as Australia, with an annual turnover of more than $4 million.

An online marketplace

The internet can be a wealth of information when sourcing information on your business’ industry and target market.

To start, visit the website of the Australian Market & Social Research Society, the market research industry’s membership body. This offers a database of Australian research companies and independent contractors, who you can call upon to conduct private research or purchase a ready-made report from.

Ready-made reports, such as those offered by Roy Morgan or The Nielsen Company are a cheaper option than private research. However, the data may not apply to your specific circumstances so weigh up the information’s value before your purchase.

For free statistics, the Australian Bureau of Statistics website may be helpful in researching your industry and prospective consumer markets.

Paying professionals

Though expensive, contracting a research company to conduct research on your behalf can be an invaluable source of information. In addition to her own research, Klitsas also employed a research firm’s services to confirm her gut instinct.

“We did conduct some professional research – for peace of mind, rather than anything else – just to reassure us that we were on the right track and doing the right thing,” she says.

These firms conduct their research using scientific and quantifiable methods, the results of which can be far more insightful and detailed than personal research or ready-made reports. However, they can be expensive – Klitsas paid $20,000 for professional research, something she admits was expensive but worth every cent.

“We’d prefer to know that we were wrong before we put our products on the shelves – it is really valuable if you can afford to do it,” she says. 

When it comes to success in business, opportunities often involve risks. To increase the chance of your risk paying off, you need to enter the market in a calculated way, measuring the potential ups and downs. The most effective way to gauge your product’s success is through extensive and insightful market research.

So, if you’re looking to work on your business rather than being stuck in it, book in for a complimentary business assessment today with Switzer Business Coaching

Important information: This content has been prepared without taking account of the objectives, financial situation or needs of any particular individual. It does not constitute formal advice. For this reason, any individual should, before acting, consider the appropriateness of the information, having regard to the individual’s objectives, financial situation and needs and, if necessary, seek appropriate professional advice.

Published on: Thursday, July 22, 2010

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