Using market research feasibility studies enables the business to acquire insights into their market and assess if there’s a strong enough demand for a new product venture to be fruitful.
There’re five elements to market research feasibility studies:
Stakeholder In-depth Interview
Discussing your venture with stakeholders is a good starting point because it allows all groups to gain ownership of the process and support market research and helps market researchers become acquainted with project objectives.
Trend Analysis and Demographic Evaluation
Using secondary research and market analysis establish a demographic population and target audience that businesses use for demand modeling and calculations. This is particularly related to trends, consumer budgets, and other statistics that factor into project feasibility.
Primary data is gathered from end users with a questionnaire that targets current and predicted use and evaluates what impact a new product venture may have on the market.
Determines how competitors can impact a new business via competitor profiling, which helps businesses identify product gaps that they can take advantage of.
Demand Model and Valuations with Guidance
Combines the first four elements (above) and then applies the respective findings to develop a demand model that forecasts the potential for a new business or product.