Marketing research is essential to any business; and when you’re trying to pinpoint who your potential customers are, it becomes even more important. Using market research to identify potential customers can be difficult, but thankfully there are some essential professional tips that will help you along the way. The following are 4 marketing research tips that will help you identify your target market and hopefully improve your sales.
Tip #1: Compile enough data to create valid conclusions
It can be tempting, especially if you have to do all of the research on your own, to look at a handful of samples and make a broad generalization about your target market and potential customer demographic. But one of the most essential parts of this type of market research is obtaining a large enough amount of data to actually work with and create viable conclusions from; the more data you can get, the more substantial your conclusions.
Tip #2: Imagine yourself in your customer’s shoes when creating surveys
When you are doing survey-style market research, it’s important to view things from your customer’s point of view. For example, when creating survey questions, imagine you are the person who is filling out the survey. Would these questions seem relevant, interesting and worthwhile to you? Would the answers you provide be ultimately helpful to the business? The more useful the survey, the more useful the data created from it.
Tip #3: Think about the location of your business, when applicable
If your business has a physical component, the actual location of your business can be a significant determining factor in your potential customers. For example: If you are planning to open a coffee shop in a college town, the primary source of business will be college students; conversely, if you are planning to open a coffee shop in a business district, the primary source of business will be older adults who are on their way to work, getting coffee during breaks, or picking something up on the way home.
Tip #4: Look to your successful competitors
One of the more successful ways to determine your target demographic is to take a closer look at your successful competitors—who are they targeting? What type of customers do they have? The goal is to learn from your competitor’s success and apply their techniques to your business, while also offering something more to draw those now identified customers away from the competition and towards your business.