Step-by-Step Approach to Market Research


The following Steps will guide you to the process of a simple market research. Maybe this description is helpful if you are a newcomer in that - otherwise this will be a little bit too simple. Important is the fact that you need excellent sources to get useful data for the analysis. Keep an eye on the sources and find out which are worth to trust on. The wrong data will make the decisions worthless.

Step 1. Find Potential Markets

Obtain trade statistics that indicate which countries import your type(s) of products.

Perform a thorough review of the available market research reports in the country(ies) and industries in question to determine market openness, common practices, tariffs and taxes, distribution channels, and other important considerations.

Identify five to ten large and fast-growing markets for the firm's product(s). Analyze them over the past three to five years for market growth in good and bad times.

Identify some smaller but fast-emerging markets where there may be fewer competitors.

Target three to five of the most statistically promising markets for further assessment. Consult with an Information Professional of your choice

Step 2. Assess Targeted Markets

Examine consumption and production of competitive products, as well as overall demographic and economic trends in the target country.

Ascertain the sources of competition, including the extent of domestic industry production and the major foreign countries the firm would compete against.

Analyze factors affecting marketing and use of the product in each market, such as end-user sectors, channels of distribution, cultural idiosyncrasies, and business practices.

Identify any foreign barriers (tariff or nontariff) for the product being imported into the country and identify any Export controls

Identify U.S. or foreign incentives to promote exporting of your product or service.

Determine whether your product is price competitive after you've figured in packaging, shipping, marketing, sales commissions, taxes & tariffs, and other associated costs.

Step 3. Draw Conclusions

If the company is new to exporting, it is probably a good idea to target 2 or 3 markets initially. An Information Professional provide the valuable insight into your "optimal" market opportunities.


Any market research pro will give you advice if you need any help.