IMPORTANCE OF MARKET RESEARCH FOR SMEs

Entrepreneurs may not understand at first but will surely get to know the importance of marketing research before starting off any business once they step in the field. You must have a set of the do’s and don’ts in your mind before setting up your business. SMEs have to face a rather competitive market than they actually think. Doing a bit of an initial research will result in something better and will help business owners get favorable outcomes. Bigger companies have a lot more to do in terms of marketing that they may overlook the need of researching the market. It is important for entrepreneurs to do a complete market research to know their competitors, target audiences and target market. Marketing research is a process of collecting stats, data, information and facts about the market that satisfies customers’ need. It is based on gathering data from the relevant sources so that there is a much-reduced chance of an unsuccessful outcome.

Marketing research is based on gathering the stats and data to determine an absolute satisfaction and needs of the customer. It helps you identify the marketing trends, necessary information regarding your competitors, knowledge about the needs and habits of customers and demographics. Market research is something truly important that many of the SMEs do before the start-up of their work. However, a good market research is not a once to be done task, it should be an ongoing process of the strategic plan of the business.

A good marketing research ends up with the most important results as it allows you to examine and identify whether a particular product is important for your business and customers. Getting all the necessary and factual information is essential for SMEs to run.

Points to keep in mind while performing a good marketing research:

  • You identify the problem area of your business
  • Do SWOT Analysis [ know your strengths, weaknesses, opportunities and threats]
  • Set attainable targets
  • Understand the existing customers’ practices
  • Recognise and be open for new area in order to expand
  • Make marketing decisions based on the factual information gathered
  • Have a keen understanding of customers’ needs

With a good marketing research, you reduce the chances of loss and get more options that might help you enhance your business performance. It helps you to do a great comparative study about the potential competitors and target audience. Many entrepreneurs in London do a complete market research as it helps them analyse the market trends. Marketing research plays a significant role in helping them create and implement impactful strategies that might turn their business around.

Entrepreneurs should understand the need of a market research as it is important for the survival, growth and expansion of their business. It reduces many risks and increases the opportunity to improve their business constantly with a more competitive approach.

A good market research might lead towards the reduction of the uncertainty of business growth. It also enhances the decision-making power of the company.