Use government databases, like those available from the U. Small Business Association, for information. Business magazines, academic or trade associations, and local business bureaus can also be helpful. Small Business Administration U. This represents your research time and spent energy. Only the tip is visible. The small tip is your output, e. For tips on writing a thorough business plan, see Write a Business Plan.
Determine who your customers are. When conducting market research, it is key to identify your customers. What are the demographics of this group? For example, do they live in urban, suburban, or rural settings? Are you marketing your product to men, women, boys, or girls? Who will use your product whether a human or animal?
What are your customers' interests? What is missing from their lives that your product could fill? How do their budgets look? Your customers could be professional workers with high amounts of disposable income. They are both men and women, some with children and some without children. Your customers like to spend their time with their families and working out or taking cooking lessons. What they lack is free time. Identify the size of this market. You want to have an idea of how many customers you can expect to draw with your business.
For example, if your potential customers are professional workers with high amounts of disposable income, you need to make sure that there are sufficient numbers of people in your area that match your description. If your target market is too small, your business will have a hard time remaining profitable. Do some demographic research on your area. The SBA is a good place to start, but chambers of commerce and other offices in your community can also help.
How many people matching the description of your target market live in your area? Do they tend to live in one area, or spread out? Get a sense of your competitors. How is their pricing? How often do their customers change? Is their website well-designed? What about their advertising?
You also could look at your competitors' reviews on websites like Yelp or tripadvisor. About what things do their customers complain? What do their customers praise? School Email Address. Petersburg Aniak Jr. Public School, Rajabagicha D. Gavit Jr.
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