Market Research Made Easier

Columbia, Mo., October 21, 2005 —You can have the best product or service in the world, but if no one wants it, needs it or can afford it, you just have the best product or service in the world.

And while you can't actually guarantee there will be an audience for what you want to sell, you can make an informed prediction with the assistance of a new tool developed by the Business Research Information Development Group (BRIDG) at the University of Missouri-Columbia.

The Business Indicators Analysis Tool is an online resource that provides prospective or existing business owners with accurate and meaningful data to use in developing their marketing or business plan. Data on a specific industry or on customer demographics is easily accessible. Users can produce radius maps and tables and access additional important information such as purchasing and buying power for a community or region. The tool is located at www.missouribusiness.net/bridg/indicators

"This tool allows users to create the necessary projections and develop a wide range of scenarios so they truly can make the best decisions for their businesses," says Dr. Gwen Richtermeyer, BRIDG director, and one of the developers of the Business Indicators Analysis Tool.

"All of the research on entrepreneurship tells us that conducting market research is one of the most challenging problems business owners face, so we decided to develop a tool that will make it easier to find critical market information."

The Business Indicators Analysis Tool was created in partnership with the Office of Social and Economic Data Analysis (OSEDA) at the University of Missouri-Columbia. The tool also incorporates resources from the University of Wisconsin-Milwaukee for information on purchasing power by region.

"When considering business start-up, business expansion, new product development or many other business changes, entrepreneurs need to examine the target market for their product or service, identify the characteristics of their customers and then assess their competition," Richtermeyer says. "This tool allows them to do all of that very conveniently."

Reliable financial projections are dependent upon the characteristics of a target market. In other words, business owners need to know where their customers are and how much they spend on the type of product or service the business is attempting to sell.

Likewise, Richtermeyer says, it's important to know something about customers so business owners can develop the best strategy to reach them. What do they look like in terms of age, gender, ethnicity, occupation and marital status? Where do they live and work? What level of education do they have? What is their income? How large is their family?

The third component is the competition, and Richtermeyer says it's important to understand competition to better assess one's own strengths and weaknesses.

"Businesses need to understand not only how many competitors they face, but what those competitors are like," Richtermeyer adds. "How do competitors differ from the business you are starting or operating? How are they similar? Are those competitors' businesses growing? Do they offer benefits or features you don't?

"The Business Indicators Analysis Tool can help entrepreneurs answer key questions and focus their efforts in targeting the right market for their products and services. There is a wealth of information here, and it's all available at no cost. I would encourage anyone considering a business start-up, expansion or diversification to use this powerful tool."

BRIDG is a component of the University of Missouri's business development programs, which include the Missouri Small Business Development Centers, the Missouri Procurement Technical Assistance Centers, the Missouri Small Business Technology Development Centers and the Missouri Market Development Program. For more information on BRIDG and the above named programs, visit www.missouribusiness.net.