Finding ways to expand your business is important. Solely relying on one product or service to make your living can lead to big problems in the future. This is why you need to focus on developing new products to add to your existing business.
Studies show that over 95 percent of the new products launched each year will fail. Often times, things like a lack of market research are to blame for these failures. Instead of having to deal with the stress and worry of a failing product, you need to focus on conducting thorough market research.
Read below to find out about some of the mistakes you need to avoid when conducting market research.
Neglecting to Conduct Offline Surveys
One of the biggest mistakes most business owners make when conducting market research is relying solely on online methods. While taking surveys on social media platforms or even your website can provide a great deal of helpful information, you need to also take advantages of offline survey methods as well.
For years, business owners have used digital kiosks to collect information from consumers. Setting up one of these kiosks in areas where your existing products are sold is a great idea. With the help of this kiosk and offline survey software, you can get a feel for what consumers think of your new product idea.
Failing to Provide Consumers With Accurate Product Details
Before you start the journey of expanding into new markets, you need to develop a plan of attack when it comes to market research. If you are developing a new product, drafting up a brief report on the details of this product is a must.
Failing to provide the consumers you are polling with accurate product information can make the feedback you receive nearly useless. You need to give the consumers you are polling lots of information about how the product is being designed to meet their needs. Often times, the product information you provide during the market research phase will help to create a buzz.
Figuring Out Who Your Competition Is
As the old saying goes, “there is nothing new under the sun.” This saying can be applied to the world of product development as well. While you may have a unique take on an older product, very rarely will you find something that is totally new.
Instead of going into this process blindly, your market research needs to include thorough research on your competitors in a particular market. Taking a look at how successful a competitor has been can help you figure out if you want to pursue the development of a particular product.
You will also need to take a look at how a competitor is marketing their product. Drawing inspiration from their marketing campaigns is perfectly acceptable. However, you need to avoid directly ripping off key elements of their advertising strategy.
Listen to Negative Feedback
Some business owners think that market research will only garner positive feedback. The reality is that you need to prepare yourself for negative comments from consumers about a particular product.
Listening to this negative feedback and using it to make a decision regarding the launch of a new product is a must. If you are getting far more negative feedback, then you may want to shelve your idea for a while. Going back to the drawing board and developing a new product is far less costly than putting a large investment into a product that isn’t successful.
Don’t Rush Through the Market Research Process
Taking the time to thoroughly research the potential market for your product is worth it. Rushing through this process can lead to mistakes being made. Working with professionals familiar with this type of research can be extremely helpful.