The goal of research is to make for the rapid attaining of profitability, cost effective method. 1. Test the potential marketplace to identify the buying motives and identify any problems that may interfere with your plan. 2. Develop alternative solutions to any problems. 3. Define what type group of the market that you are going to test. 4. Plan what you are going to do with the information. Application life cycle consists of: 1. Introduction
A. Are we increasing our sales according to plan?
B. When will we achieve break-even? 2. Growth
A. Are we losing, holding or increasing sales?
B. Are we increasing profit margin? 3. Maturity
A. Any new uses that can re-stimulate demand?
B. Any other networks that can be utilized? 4. Decline
A. Should we abandon the market?
B. Is our lead cost per sale increasing beyond boundaries? Marketing mistakes most commonly made: 1. Allowing yourself to be blinded by your love affair with your widget. 2. Lack of communication on all levels. 3. Making overestimates of: a. Performance
b. Exterior conditions (inflation, interest rates, supply, govt)
c. Close rates 4. Making underestimates of:
a. Time necessary to accomplish
b. The in-efficiencies of start-up
c. The flexibility of the plan when conditions change Marketing Research, I and ll There are two aspects of Marketing Research. The first is determining how the potential market that you have chosen will "probably" respond to the value that you wish to present. The second is finding out precisely how the market feels about your product/service and, either how you can improve, or, what additional products/services you can now offer. This is "fine-tuning" and "after- market." This is a very simple yet important part of your business. Don't take these questions lightly, large corporations spend millions to find the same answers that you as a small company can by using this set of two questions. Research I - After creating a promotion, using The Marketing Workbook, approach the appropriate market with your promotion, preferably face-to-face. The goal is to determine: 1. What do they like about your offer?
2. What do they not like about your offer?
3. How much will they pay for it, as is?
4. How can you improve over Brand X?
5. How much more would they pay for "value added?"
6. How often (or when) would they buy?
7. What would you need to offer to get them to switch? Take this invaluable feedback and re-invent your wheel. Research II - According to the CUSTOMERS: 1. How is your value?
2. How can you improve it?
3. How is your dependability
4. How can you improve it?
5. What additional services does the market want?
6. What do they like about your competition?
7. What do they not like about your competition? Scenario "I" is for a start-up (either a new business, or a new service from an existing one). Research "II" should be asked of both existing customers and "Brand X" customers. People will positively respond to genuine research questions because it makes them feel "special." Don't abuse the situation by manipulating them into an "instant sale." Get back to them. Remember, you don't tell a market what to do - you ask what it is that they want. Don't listen to people who will tell you what they believe you want to learn, go to strangers. That's one of the main reasons that sales projections aren't originally met (that, and lousy promotions). |
