Market research - why do it?

• Market research is essential for convincing banks and other potential lenders that your business plan is sound and they can expect to see a return on their investment.
• Market research provides quantitative information that can be plugged into a business plan and used as the basis for revenut projections, mid-course corrections, and long-term strategic decisions.
• Market research can help you decide whether there's room in the marketplace for a new product or service.
• Market research is a good first step in a competitive intelligence effort, helping identify the key and merging players in an area.

Market research - what is it?

• Industry overview and background
• Surveys and descriptions of products and their manufacturers
• Product reviews
• Research and development
• New product introduction
• Overall market size in dollars or units sold
• Competitors and market share information
• Historical data, forecasts, and trends
• Market segments - how much and to what kinds of customers
• Alternate or complementary products/services
• Advertising and marketing strategies

Company Research

• Company name and address, form of ownership
• Financials
• Labor information
• Technology development/intellectual property
• New patents/trademarks/copyrights

(Above are excerpts from "Researching Online for Dummies" by Reva Basch and Mary Ellen Bates.)


Some tools for doing market research