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Market analysis | Marketing Concepts.

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Varied modern technology, a population more affluent and complicated, the discovery of new materials, production automation and the use of the computer, have been factors to produce a huge flow of goods and services directed towards all kinds of consumers, those who buy it are raising their standard of living and meeting a need.
Market plans are the link between manufacturers and consumers, since they lead and control the distribution of the large flow of goods and services that producers offer a heterogeneous crowd of consumers, which gets a double result:

Needs of consumers

To sell the time producing profits, with which the company can continue to operate.
Analyzing the market to start by studying the consumer, because this is the one that tells companies what kind of products are ones you want to purchase, and must decide the company at what prices sell them, where and how to advertise the product, what distribution channels will be used, etc.
The rapid evolution of the markets requires permanent analysis of the same, in order to identify and evaluate opportunities, it is necessary to establish and use a marketing information system more reliable. Market research is essential, as to satisfy customers is necessary to meet their needs, desires, location, purchase habits, etc. The objective of the research was to gather information about relevant marketing for the enterprise environment. Also, it will be necessary to pay attention to identify and monitor competitors. The key is to develop and maintain a good and updated set of competitive intelligence, finally must not forget the assessment of threats and opportunities posed by changes in the factors and actors in the environment.
That is why some of the main reasons why you should carefully analyze the market are:
The constant investment increase: acquisitions of fixed assets for manufacture and distribution, which by the high investment and high fixed costs that are associated with them, require a good analysis market allowing to plan strategies to distribute products and get sales volumes which were estimated and that produce the anticipated profits.
The accelerated technological research: the immediate consequences have been constant innovations to existing products and introduction of new products, which hastens the obsolescence of the product and, with it, are emphasized the problems associated with the planning of the product line, the minimum inventory required, etc.
The trend towards diversification of products: Market opportunities have caused some companies decide to diversify its product line, as a means to achieve greater stability in the company's income.
Lyou rising labor costs and other factors of production: constant increases in production inputs have created the need to seek new markets and new uses for products distributed by a company.
Market research should be felt unmet need in the market, needing the company target its efforts to produce the desired product, which will basically achieve:
  • Expected volumes of consumption,
  • Sales and projected profits that will allow the expansion of the company, pay taxes to the Treasury, distribute dividends to shareholders
  • Expected market share

Points to consider in the analysis of market

Consumers and the market
Consumer profile
Structure of the market
Number of competitors
Number of brands (national, regional, local)
Percentage of market by brands
Characteristics of the most important brands
Differentiation of our brand from the others
The main competitors marketing strategies
Product and pricing
The product

  • Materials, design, technology, quality
  • Models and sizes
  • Essential or luxury, perishable or non perishable, lasting or not durable, consumption or industrial, etc.
Packaging and container
  • Protection, convenience, attractive, identification, material, size, shape, features emblem (design, color, printing).
Mark
  • Legal protection
  • Patented or not
Service and warranty
  • Required installation
  • Education for use
  • Ease of service and maintenance
  • Guarantee time
Product prices
  • Competitive pricing strategies
  • Product price trends
  • The price and its impact on demand
Place
  • Distribution channels
  • Total number of stores retailers and wholesalers by region
  • Advantages and disadvantages of the channels used
  • Margins of utility and volume of the used channels
  • Percentage of stores that handle our product
Promotion
  • Personal sales
  • Advertising
  • Sales promotion
The realization of studies and market analysis, enables businesses to draw more effective marketing strategies; as well as carry out the demand forecasts, plans of exports and imports, market segmentation and also analysis of the competition and its positioning. The market information is a necessary element in the effective marketing of products and services of a company.
  • Get to know your direct competitors.
  • Know how is the relationship between customers and the company.
  • Know if the price of the product or service offered is according to the sector of the market that you want to reach.
  • Find out if the product or service has acceptance or not in the market because of its characteristics (quality, price, attention to the customer and others).
  • Know if the diversity of products or services offered meets the needs of customers and covers all levels of the market.
  • Information about potential customers.
  • Learn about the impact that has on sales advertising.
  • Know how is the image, the company both of the products and/or services on the market.

Types of market analysis

Real estate acceptability

Study of quantitative type, designed to get response for the specific feasibility of real estate projects with broad level of detail. Delivery information regarding the real needs of the market and the price-elasticity. Also, it helps to uptake of investors and the installation of commercial anchors.

Motivational studies

Study of qualitative and exploratory, type that usually delivers information basis for deciding on the policies of market. The technique involves meetings of dynamics with groups objectives (Focus Groups) of consumers and/or customers, which are led by psychologists specialized in obtaining traits. It is useful to evaluate new products or services, or to select the most effective alternative among several propositions.

Imaging studies

Study of quantitative type, whose main objective is to deliver the position of a product or service among its competitors. For this techniques are used for monitoring brands, checking through this system the current position, the ideal position, and the strengths and weaknesses of each competitor. These are seriously influenced and regulated by perception and mental image of individuals, which are impossible to obtain by simple observation methods. We have developed research techniques specifically aimed to get the mental image of the consumer, by carrying out multiple experiments in the field of semantics and cognitive Association. This investigative technique has been widely tested and has a successful performance.

Studies Tracking

Studies of quantitative and predictive, type that allows to follow a variety of parameters of a product or service specific, compare its evolution and predict trends. It gives information on time, to prepare policies to the needs of the company, based on the relationship with its consumers.

Dynamic Panel

Study of quantitative and continuous, whose technique involves the daily monitoring of homes for monthly periods. In order to minimize the effect of the sampling error, investigated households change in each measurement. These studies are mainly used in the measurement of knowledge, use, habits of consumption, participation in markets, and verification of exposure to advertising channels. This technique has shown a high degree of accuracy in the delivery of "shares" market.

Market segmentation studies

Study of quantitative type, whose main objective is to classify consumers in similar groups, in search of the market to introduce new products or generate new ways of a product and/or service existing. They are used to establish the natural segments of the consumer market, know in detail the habits, behaviors, attitudes and preferences of members of the group, its dimensions, the participation of specific brands, the variables that define the purchase of the product and the subtleties that determine the decision for a specific brand. The technique consists in the design of a questionnaire that establishes groupings; the results are analyzed using various multidimensional techniques, such as Cluster analysis and principal components.

Evaluation of campaigns

Study of quantitative or qualitative, type that reveals consumer attitudes to different types of campaigns or commercials. Distinguishes three levels to the interior of the technique. The first one concerns evaluation of pre-campaign shaped prior to its launch. The second level is the measurement of effect in action of the campaign, and finally, a post-evaluation

Stages in the process of market analysis

Define the relevant market. A company may see its most prominent competitor as other brands of the same product form, other forms of product or other kinds of product. Managers can not analyze a market unless they define it first. The way how to define a market will have a significant impact on the results that can be expected in successive stages.
Diagnose the buying process. Once defined the market, managers should find out who are the buyers: what circumstances motivate them and enable them to buy; as they seek information related to purchases, and as selected among the alternatives.
Definition of market segments. There are few situations purchase that all customers have the same motivations, looking for the same information and follow similar processes of selection.
Describe segments. In any market, it is possible to identify a given number of segments, and managers can select one or more of these segments as targets for the marketing of the company offer. However, before making a selection, the managers shall determine the size of each segment and the best way to achieve it.
Analyze the positions of competitors. To identify alternatives that according to buyers, meet the needs of each segment, managers can determine who will be the specific competitor for each segment.
Published for educational purposes
Concepts of Leadership and Marketing

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