Six Pivotal Components That Constitute Well-Rounded Market Analysis
What does a market analysis consist of? Originally appeared on Quora: the place to gain and share knowledge, empowering people to learn from others and better understand the world.
A good market analysis consists of:
Target Market
Target market includes your potential ideal customers and clients. They comprise of identified demographic data on a group which you are planning to target – which include gender, age and income level as well. This is a place where you will discuss your probable market and their ability to spend as well as how you’ll reach your potential customers.
Industry Outlook and Description
Describe the industry with adequate background info so that someone who doesn’t have knowledge about this area can understand what the market is like, what challenges they face and what the outlook of industry is.
Market Growth
This comprises of the possible idea of what the business will look like with few years down the road. Sales projects, target market amount etc. can be forecasted with a good analysis of the present condition.
Market Need
The factors that influence the need for your service or products must be included. Did the need for your product/ service exist before you tried to create it? Why the customers will want to do business with you, choose you over competitors etc.
Focus if your product/ service satisfies what is needed in the market.
Market Trends
You need market trends to notice any type of changes that would affect your industry or market. You can cite experts from your field from the research you have done.
Competitive Analysis
There is no way to get success until you overcome your competitors. You can do a SWOT analysis and figure out your strengths and weakness of your competitors to figure out how to exploit that and work it as advantage for your business.
Contributed by Richa Patel, Research Analyst at JSB Market Research
