As a business, it is important you have a clear idea of who your target market is, and more importantly, how to appeal to this audience. Market analysis is a detailed study of the dynamics, buying habits and opportunities that can be found in a specific market.
Why is market analysis important?
An effective market analysis can give you the information and data to appeal to a certain market and to predict how the market will grow and change. Market analysis can also be used to test the efficiency of your marketing efforts and monitor your growth as a company.
So, how should your company begin their market analysis?
Step 1. Research
Market analysis begins with thorough research into the market you are trying to succeed in. What kind of consumers are you trying to attract? Consider their age, interests and buying behaviour as well as how much disposable income they may have available. It is important you have a clear understanding of your target market before you begin to analyse any data to prevent you from misinterpretation or collecting the wrong data.
Step 2. Collect your data
The next stage is to measure all the data you have available. Be selective: only collect relevant, measurable data, such as conversion rates and UX, which can be collected through monitoring the data produced by your digital marketing.
Step 3. Finalise the report
Organise the data you have collected into a marketing report, this will help you identify areas of marketing you need to improve on and areas where your company is succeeding.
Once you have completed your market analysis and acted upon the weaknesses of your company identified in the report, continue to regularly analyse your company to ensure you stay on top of your targets and are meeting the needs of your consumers.
If market analysis seems too time-consuming or overwhelming for you or your business, Mark 2 Creative can help! We are a Sydney-based marketing agency that has the relevant experience and expertise to take your business to the next level. For more information about market analysis and the other services we offer, contact us today!