MARKET FEASIBILITY STUDY

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A market feasibility study provides a go – no go decision for starting a new venture by determining if there is sufficient market demand, and, that the product or service can be sold such that the company makes a profit.

There are 3 main consulting activities involved in conducting a marketing feasibility study in order to provide in-depth information about market opportunities and threats as well as determine the financial viability of the venture.

1.       Conduct Market & Competitor Research to determine: 

–          Market size, growth and trend – what is the market potential today, and in the future? What is the addressable market size? What are the key trends that support or detract from the product opportunity?

–          Market segmentation – identify those key segments that are most suitably matched to the product and company.

–          Determine potential buyers – does anyone want to buy or license our technology product?

–          Identify who the competitors are – real and perceived.

–          What sectors could the product apply to and what are the sizes of these sectors?

 

  1. 2.       Conduct Customer Research to determine:

–          Targeted customer-problem-solution: who is the targeted customer? What problem is being solved? What is the solution?

–          Key stakeholders and influencers:  who are the buyers, users, and influencers to selling the product?

–          Differentiators:  what will separate this product from competitors that are likely to be of interest to prospective customers?

–          Key product benefits:  what are the key product benefits that should be included on marketing collateral?

–          Key product features:  what are the key product features that should be included on marketing collateral?

–          Determine marketing materials as per the market, competitor & customer researcher

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  1. 3.       Business Feasibility – Marketing / Sales Strategy & Planning to determine:

–          Business Feasibility – Marketing / Sales Strategy & Planning – build a complete Marketing / Sales Strategy & Plan that includes the positioning statement that is clear and engaging to target customers, and, determine the sales channels to be used in getting the product to the target customer.

–          Provide 3 year cash flow projections to prove or disprove marketing / sales pricing and time to market approaches.

 

Lastly, once the feasibility study has been completed, stand back, ask yourself ‘Can our team take this business idea and turn it into a profitable venture?