You’ve come up with an awesome business idea and you’re ready to hit the market with it. Cheers, mate, good on ya! But wait – are you sure there’s a group of people who want your product/service? Just having a great idea isn’t enough. You need to find out if the people who need your widget can also afford it – or vice versa. What you need is market validation.
What is market validation?
Market validation means testing your “gut feeling” about your product’s worthiness against a group of people in your ideal target market. You need to ask them tough questions to see if you’ve really got a shot.
- Do the people you’re targeting have a need for the product?
- Can they afford it?
- Will your product actually solve the problem they have?
Sometimes the answers can be harsh, perhaps suggesting that you shouldn’t go forward with developing this particular product/service. Or the results could show that you’ll need to make drastic changes to the way you market and sell your product. Another possible outcome of market validation might be that you need to pivot to an entirely different demographic or psychographic set of customers.
Surveys can validate your product’s marketability
One of the best ways of validating your market is to survey people. To be valid, surveys must be well-designed and able to pinpoint problems and opportunities. Market validation surveys are tricky to tackle alone unless you’ve got a background in marketing analysis or scientific research. If you’re too close to the product, it’s easy to unconsciously game the survey to give you the answers you want.
Maths is your friend
Your survey output must provide projections via statistics. If you’re eyes blurred over that last sentence, you’re not alone. No doubt about it, surveys can be intimidating. But validating your market before you start production is critical to saving you time and money in the long run.
At Prefer, we’re not only happy to help you devise a product/service launch strategy – we’ll also do all the hard survey stuff for you – from design to implementation and right through to crunching the results and offering recommendations. Let us know what your great idea is – we can help make it a reality.