How to Market Research for a New Business Idea

by on September 16, 2009

In Austin, I worked for a place that delivered breakfast tacos to businesses and sold to individuals at their desks.  What a great idea!  But that doesn’t necessarily mean that the idea will import to another city, or that another city’s way of selling will import to Austin.  Several taco vendors tried to establish street carts like they have in Seattle for Lattes.  It just didn’t work, because in Austin, the parking and office buildings are set up differently and there isn’t a lot of business pedestrian traffic on the streets. People tend to park in garages that lead directly inside the office buildings.  We would set up tables in lobbies and sell breakfast tacos, but we had to get special permission to set them up from the building owners.

When you have a new business idea, you have to consider a lot of things, and you have to know how to market research your idea.  Will Seattle people like breakfast tacos?  What if they are marketed as authentic Austin Tex-Mex?  How do you find out?  You can do a trial run if it is not too expensive, but many businesses cost a lot in start up. That is the whole point of the business plan and the market research.  To find out the answers to these questions in advance, you could look at the most similar businesses.  What kinds of food items are sold in Seattle on street carts?  Are there any kinds of food sold that are brought around by vendors carrying the food on their shoulders?  Are there any breakfast foods sold in this manner? What are Seattle business people eating for breakfast?  How do the local fast food companies do for their breakfast business?  The chamber of commerce may be a good resource.  Also, you might consider putting out a survey yourself.

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