What Is Market Analysis?
Market analysis involves the study of market dynamics with the help of which a company can assess the size of the market while introducing a new product or services, or even planning to expand the existing ones. Market analysis is the key to determining the potential of a business idea. It helps to understand the market size and the opportunity related to that.
How To Do Market Analysis For A Business Plan?
A market analysis should include your industry type, the target market, your competitors, and your approach towards your business plan. Following are the segments to conduct a market analysis for your business:
- Industry specification: You need to specify the current situation of your industry and its direction to where it's headed.
- Target market: You need to define your target audience. It is necessary to understand how much do your potential customers spend on the products you plan to get into? How broad is your potential market?
- Competitive analysis: It is important to run a competitive analysis for your product like, what are your competitors offering your potential customers? What is your competitor's pricing?
- The barrier to entry: What are the drawbacks of entering your particular market? What's the cost of entry is it expensive? This is where you examine your weaknesses.
- Projection: You will project your pricing structure with realistic numbers.
- Regulations: Always check the government regulations or restrictions on the market you plan to introduce your product/services in.
How Do You Present Market Analysis?
In the Market Analysis Presentation showcase the market size of your category, your share and your competitors share within the category. Powerpoint is a powerful tool that can be used to present your market analysis.