Know thyself and know thy
By Joanne Mansell.
now we are pretty used to the idea of knowing “thyself” – not only what
your product is, but why people would want to buy it. Stay tuned next month for an article on marketing using the
start with some basic theory the steps in marketing research.
Marketing Research Process (steps)
research is about finding out what your market wants. The steps are:
problem and research objectives – what do you need to know?
research plan for collecting information
the research plan – collecting and analyzing the data
and reporting the findings.
you know what your market wants you can then tailor the message.
Stuart has some great Guerilla tips on marketing.
Sources of Market
Research – what are primary and secondary data sources?
data already exists, having been collected for another purpose.
This is a good starting point for research and may help define problems,
research objectives and further questions.
Furthermore, as a small business without much capital to spend on
research, you may learn what you need from expensive research conducted by your
competitors. If a car is pitched to your market – say 30 year olds with no
kids, what are they targeting as an angle?
Is this a concept you can piggy-back on?
commonly thought of and best known readily available source of secondary data is
the Australian Bureau of Statistics (ABS), which can be used to obtain
information on demographics. Remember
the census we all did a few months ago? The
ABS CD is the collation of these results. Many local libraries provide access to this information for
important to be aware that not all sources are useful or applicable.
Other sources can include the newspaper, radio and tv, Internet, yellow
pages, trade associations and journals, archives, competitors advertising and
benchmarking is a helpful source of information on your competitors, collected
by industry bodies. You can then
check your business against the norm, allowing for best fit and seasonal
data is collected
specifically for the purpose at hand. Care
must be taken to ensure it is accurate, current and unbiased.
Primary research is often done by market research companies and can be
expensive to commission.
summary, primary data is directly surveying potential customers to find out what
products to sell/develop and how to price them.
It also provides the basis for a marketing strategy in terms of where and
how to advertise to reach your target market, as well as how to market your
products. Finally, primary data gives an insight into customer perceptions -
especially of value – without an understanding of which it is difficult to
correctly package and price any product.
cost methods of market research (and marketing) –
finding out what your market is and wants…
Who is in your
database – what demographics can you calculate from your current customers
such as age or location (postcodes are a good clue for this)?
demographics can be obtained from census information – check your local
library for free access to the CD from the ABS.
What are your
fast and slow selling products? Does
this give you clues on what to promote?
create a loyalty group or club? Preferably
one where your patients, customers and clients don’t need yet another card!
What can you
learn from the geography of your shop/office – is it near the beach, schools
or on a main traffic route? Is
passing traffic in cars or pedestrian? If
you work from home, where do you advertise – can you leverage from these
Can you run
information nights (to collect leads) or surveys in store to find out what
people want, or what would entice them to buy?
Have a look at
your local newspaper – if you ask about advertising they will provide you with
demographics of their readership.
customers and their buying habits. You
can observe their reactions and buying habits in your competitors’ shops as
competitors advertise to your target market, and the segments of the market they
ignore – what they miss could form your niche market.
other products advertise to your target market. This marketing is often the
result of expensive primary research – what themes are being used to appeal to
your target market?
marketing for segments which are not being marketed to – this is looking for
the “space” between markets and promotions.
Listen in to
groups of your target market (at dinner parties, movies, trade shows).
What do they talk about? What do they want and what are their values?
How can you use this information?
What else does
your target market buy that can fit with your products? Seek to develop
synergies between your products and those of other businesses. A great example
of this was a Rebel Sport shop offering a one-month gym membership at a local
gym if you spend over $50. This has
qualified leads 3 ways – it targets sporting people or people interested in
sport, it reaches people in the local area and reaches people more likely to
have disposable income.
With some common
sense you can get great market research with little financial outlay.
more information on these concepts, or to book a business or life coaching
session with the author, Joanne Mansell please phone 0416 181 654.
The first half hour consultation is complimentary.
For more articles (including business planning basics) see www.kaizencoaching.com.au
Mansell, Kaizen Coaching – “Mind, Body, Life Fitness”
(c) Kaizen Coaching 2000-2014. Trademarks Kaizen Coaching, Building an Extraordinary Business and Sportsmind are used with permission of their respective owners.