How to do market research for a new application/marketplace/website?

So, market research is like a homework you struggle to do, but without it, you won’t be admitted to exams and get your diploma.

Marketing research is a set of activities that a team performs to find out more about the target audience and industries. It describes the market, target audience, and marketing activities used to succeed in the industry.

  • Marketing research analyzes essential characteristics of the field: size, value, competition, possibilities;
  • Marketing research analyzes target audience: who are the primary app users what are their demographic characteristics;
  • Marketing research defines which needs are the most pressing on the market and examines editing solutions.

The needs for marketing research present a logical continuation of what you want to achieve.

Your goal (probably) is creating a product that satisfies the needs of your audience, is able to withstand competition and generate profit for business and customer satisfaction.

As stated in “The art of war by Sun Tzu”, no great result comes without preparation. In our case, research is preparation.

Let’s consider the importance of market research based on a real case of marketplace development by Syndicode

The market for online marketplaces is growing fast. The possibilities are increasing every month — but so does the competition. To take the most out of the business model, teams should take their time with marketing research — you don’t want to rush this stage.

Here’s how we did it.

When Syndicode’s team was working on a marketplace for home service and errands, we started by defining the industry and users. The solution is launched in one of the countries within the EU, so obviously, the local market was our top priority.

However, we examined international offers, too — just to have a broader view of the field and evaluate expansion potential.

  • Market research helped us discover that our main target groups of the on-demand app are gardeners, cleaners, babysitters, and handymen.
  • Our next task was to analyze existing solutions and their flaws. We discovered that users are looking for a platform that would take care of the entire cooperation process — from connecting orders to invoicing.
  • Our next goal was to determine the target audience for service buyers. We researched user segments that are likely to order a home helper service, analyzed their mobile experience and habits, and existing solutions.
  • During the research, we understood that clients care about candidate’s experience service frequency, and hourly rates — so they became the main search filters.
  • Profiles both for clients and service providers underwent user testing and thorough monitoring.
  • We planned promotion and communication from basic things like determining an App Store category and fundamental positioning to developing specific campaign messages.

Learn more about online marketplace development by Syndicode and how we can be useful to you.

Market research is an essential stage of app development. Explore the stages of the web app development described by our software engineers.

It doesn’t take much to complete, but if done right, you are setting the foundation for years of success. On the contrary, a misstep here can run your project into the ground.

Stay tuned for further updates 😉



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