2. Secondary Market Research
For small businesses with limited budgets, people often take the first step to examine secondary market research before they choose to enter a new market. Secondary market research is research that has been compiled, gathered, organized, and published by other people. There are various resources to obtain secondary research, for example, reports and studies by government agencies, trade associations, online reference libraries, etc.
In order to support the primary market research, the secondary market research should include:
- Demographics: Good demographic research should tell the type of person that buys your service/product. Are they adults or children? How much their income is? What do they normally spend their income on? Or is it a utilitarian product that everyone needs?
- Psychographics: it should contain information relating to attitudes, activities, opinions, and interests of the target buyers.
- Geographic: population density and climate, regions of focus for your products. This is important because some products are suitable for certain climates.
- Behavioristic research tells whether or not the consumers are reluctant to a new brand when they consider buying the products, what factors concern their purchase decision, etc.