Friday, 13 January 2017

Simple market research for agribusiness

Simple market research is important before agribusiness decision is made.Market research need not be complicated as it simply involves:-
b) Asking the right questions.
c) Getting information.
d) Making decisions based on the information.
Questions to address during market survey
who needs or normally buys my kind of product product?List all of them.What market am I targeting? Who will be my major customers? e.g. households, supermarkets,hotels,market traders, people in estates etc.
What are the customer’s preferences or what quality are they looking for? What customer needs will my product satisfy? Remember people will only buy what satisfies their existing need.
Is there any competition in the area for the product / service which I want to offer?
How will I beat competition? What are the strengths and weaknesses of competitors? Take advantage of the competitor’s weaknesses and offer what they are not offering or time to sell when competitors don't have the product.
How much must I sell and at what price to break even and make profit?
Pricing-The price of your product or service should recover the cost of production and earn a profit. A profit of between 20%-50% can be earned depending on the purchasing power of your customers, the price of competitors, and the inflation rate.
Sale tactic-What will be your sale approach or method?
What will you do with spoiled products?
How will you advertise your product /service? e.g. through local posters, radio, internet, newspaper, word of mouth etc.
How will you deliver the product / service to the customers? Bicycles, public or hired vehicles.
Market dynamics- the Market survey questions may change or require modification any time during implementation due to unforeseen circumstances.