As they say, knowledge is power and here, CEO of Serendipity2, Peter Flood, discusses how effective consumer research benefits franchise business owners in making solid business decisions. By knowing who, what and where your customers are and what influences them, your go-to-market plans will be more robust.
As a franchise owner, it is essential to have a deep understanding of your customers to be able to make informed business decisions. The ultimate success of your franchise business depends on how well you can cater to the needs and preferences of your target market. Without a thorough understanding of your customer, your business strategies and marketing campaigns have the potential to widely miss the mark, leading to lower sales and profitability.
Effective consumer research is the key to unlocking insights into your customer’s behaviour, needs, and preferences. Through research, you can gather relevant information about your target market, such as demographics, purchasing habits, what media they consume, when they consume it, and lifestyle choices. This knowledge enables you to create targeted marketing campaigns and offer products and services that appeal to your customers, improving overall satisfaction, boosting repeat custom and driving sales.
One of the essential aspects of consumer research is identifying who your customers are. This can include understanding their age, gender, income level, education level, and other factors. For example, if you’re running a fitness franchise, knowing that your target market is primarily women aged between 25-45 who are health-conscious and fitness enthusiasts helps you tailor your marketing campaigns and services to meet their needs.
Another important aspect is understanding what your customers actually want; this means analysing their behaviour, lifestyle choices, and preferences to determine their needs and desires. This level of knowledge can significantly help you offer products and services that align with your customer’s expectations and preferences, including price points, which may lead to greater loyalty and satisfaction.
Furthermore, the added advantage of research is that it can help you to identify potential threats, as well as opportunities, in the market. By analysing the competition and consumer trends, you can spot emerging trends and market gaps that you can capitalise on. For instance, if you’re running a restaurant franchise, understanding the latest food trends can help you test new menu items to help stay ahead of others on the high street or offer a distinct point of difference.
Importantly, effective consumer research also facilitates strategic planning. By using insights gathered from your external research, you can develop and implement strategies that align with your customers’ needs and preferences. Blending both internal customer and external market insights enable you to layer trends, which could help with future product or service development, rebranding your business, or even with opening new locations in areas where there is high demand.
Essentially, it enables you to better understand where and when to target consumers, and learn what influences them.
With the increasing availability of data and research tools, you can access information about your market to keep apace of the evolving market, and the subsequent changes you may need to make to your proposition, as well as identify new opportunities or threats. By having actionable insights, you can improve your offering, provide better customer service, and tailor your marketing campaigns to your target audiences.
It is however essential to conduct consumer research using a structured, evidence-based approach, which involves using reliable research methods and tools, such as surveys, focus groups, or customer feedback forms. Also, having the ability to visually interpret data findings, using a range of analysis techniques, will mean you are able to draw meaningful insights from the research.
I’ve been working in market and consumer research industries since the early 1990s, and believe that
effective market research is vital to the success of any business. By understanding who your customers are, what they want, and where they are, you can create highly targeted sales and marketing campaigns and keep shaping your products and services so that they meet their needs and preferences.
This knowledge can also help to identify potential threats and opportunities, facilitate strategic planning, and even provide you with a competitive advantage in the market. Remember, knowledge is power, and the more you know about your customers, the more power you have to succeed.
Market Research Case Studies:
Nando’s and Coca-Cola Europacific Partners: https:/serendipity2.com/project/nandos-focus-group/
Whitley Neill Gin: https:/serendipity2.com/project/whitley-neill-consumer-research/
