Keeping the grid on the previous page in mind will help you stay organized when you're doing your own market research.
The first step in market research is to frame the question or questions you want answers to. Suppose, for instance, that I already run a successful retail business selling window coverings (blinds, awnings, and drapes). I'm wondering about adding a blind and drape cleaning service to my business. So my market research question is, is a blind and drape cleaning service viable?
Through monitoring business trends (reading as many magazine, newspaper, online, and trade journal articles as possible related to business), I know that consumers are increasingly concerned about recycling and reusing. And I've been watching local businesses find success selling used goods, from computers through vintage clothing. My monitoring of the environment tells me that people may be more interested in doing something with their old blinds and drapes instead of buying new ones.
For a market research question of this nature, the first area I would research is the competition. Let's suppose that there are three other window covering businesses in town. I can call them and ask them if they supply this service. If they do, I'll find out as many details as possible. Just because someone else offers the service, doesn't necessarily mean that I shouldn't; it just means I'll have to carefully consider issues such as market share and positioning.
The bulk of my market research will be consumer based. I'd start with a market research survey of my current customers, focused on whether or not they would be interested in such a service. This could be as simple as asking everyone who came into the store, or as formal as a questionnaire. If the response was positive according to the criteria I had set, I would move on to telephone interviews with randomly selected members of my targeted population. If these were positive, I might proceed to more in-depth market research survey interviews with selected respondents.
As I proceed, my research needs to become more specific. My first market research survey might be as simple as, "Would you be interested in a drape and/or blind cleaning service?" But if indications are positive, I need to know a lot more than just whether or not customers are interested.
For example, I might ask how many times a year the survey respondent would use such a service, or how much he or she would be willing to pay to have his or her drapes cleaned. Generally, the more detailed and specific the information I gather in my market research, the more useful it will be for making a decision.
On the following page are some tips for getting the most out of market research when you're doing it yourself.
