Patricia Berry offers five market research tactics that can help you approach potential customers knowledgeably.
- Find out what your competitors are doing. Take a look at the products and services they offer. You could even approach them as though you're a customer and ask questions about their offerings. What do they do that you could do better? Is there anything that they're not doing that you could? What are their prices like?
- Set the right price. Cover your costs, earn a profit, but set your price competitively. Don't price yourself so low that clients view you as a lesser value, nor so high that they choose one of your competitors over you.
- Test-market your product or service. Try it out on a few local businesses. You'll get valuable feedback that could help you make the necessary adjustments to your offering.
- Visit the library. You'd be surprised at the wealth of information you can find just by digging around a bit. You can not only obtain specific information about your target group, but also discover industry associations and professional organizations (many of which publish their own reports and publications) related to your business.
- Develop a questionnaire. Based on your other research, think of several standardized questions that you could easily ask prospects over the phone or in person. Having this list will help you feel less like you're wasting anyone's time, and the answers will help you fine-tune your offering even further.
You always have the option of conducting focus groups or hiring a market research firm. However the costs can be prohibitive, so consider doing it on your own first. In the end, when you're ready to start selling, you'll be able to pick up the phone and call prospects with confidence, knowing that they'll have trouble turning you down.