product Archives - High Performance Coach Cindy Donaldson

Market Research 101

Just because YOU think your business idea, product or service is brilliant and worth a gazillion dollars doesn’t mean the rest of the world will. The sad truth it, something is only worth what someone else is willing to pay for it. Ask any Real Estate agent – they deal with this on a daily basis.

When it comes to launching a new business or a new product you have to test it. That means market research. How that is done will vary dependent on your product or service. If you’ve just developed the latest greatest ice cream, then you better hit the streets and give away a lot of it, ask for feedback. Rinse and Repeat. Next you need to do tastings in stores, farmers markets, flea markets anywhere you can get in front of your target audience. Get feedback. Rinse and repeat. If you have a target price in mind – ask the people who liked your fabulous treat if they would be willing to pay that price. If the stars align – you are ready.

Say you have a service – like what we do here at Red Barn. We are a business and marketing consulting firm. When we decide to tap into a new market or launch a new program we do a crap load of market research. We will do workshops, bring in beta clients, write articles, talk to people – all the while collecting valuable data. Just like the ice cream we are not only looking for the good feedback, we want to hear the negative. We want to know how we can improve.

Next you really need to understand your market – how large is your potential market base? Who is your ideal client? If you need 1000 customers to break even yet in your research you find you only have 2 that would be potential clients, well – Houston we have a problem.

Here’s the process we go through

Identify our Target Client Profile. We are very specific on the socio and psycho demographics of the people, business etc. I want to know every detail – do they like dogs, do they live in the US, what is their income, do they travel, what is their age, did they go to college…the more details the better
Crystal Clear on our Deliverables. Based on our market research we hone down on exactly what the customer WANTS and how they want it delivered. So what does their customer experience and journey look like.
We make sure we are profitable. Giving a good deal isn’t worth it, if you are losing money. We may offer extra perks or even slight discounts to our early adopters, but our cost…is our cost. We spend a lot of time ensuring that we understand our COGS and our time. If we aren’t in a margin that works, then the project doesn’t fly.
We want to spend time with our early adopters to ensure things are going smooth and we scale slowly. The worst thing any company can do is scale to fast, and get into a situation where you can’t deliver what you promise.

Morale of the story: Do the research before the launch. This goes for launching a new business or a new product. The process is essentially the same. If you don’t, you’ll end up with the proverbial egg on your face.

Do you have what it takes to be your own boss?

Leave a Comment / Culture, Entrepreneur, Featured, Must Read Blogs, Small Business, Uncategorized / By Cindy Donaldson / April 19, 2018 / boss, core values, culture, flexibility, freedom, health care, jenn donovan, Mission, money, paycheck, product, red barn consulting, retirement, schedule, services, tax benefits, Vision

Are you sick and tired of working for someone else? Putting in long hard hours just to benefit the owner of the company and shareholders? Working the 9 to 5 grind week after week with no end in sight? Yup, we’ve been in your shoes. We know how it feels. Depending on the culture of the place you work at, you feel like just another cog in the wheel. So, are your finally ready to be your own boss and start your own company? GREAT!

The first thing you need to know about being your own boss is that it isn’t all rainbows, glitter, and unicorns. It is liberating and exciting, but it has its pros and cons just like anything else. Before you ride off into the sunset to start your own company, make sure you know what you’re in for.

Setting Your Own Schedule. I think this is one of the biggest draws to being your own boss. You have the freedom to create your own schedule. However, you may find that like so many other business owners, you are working longer hours than you anticipated. You still have the flexibility to determine when your day starts and ends, when you take vacations, and handle all your personal obligations.

Creative Freedom. You determine what your products and services will look liked, when they will be available, and how you want to deliver them. If something isn’t working, you have the power to revise those offerings to ones that customers may respond better to or terminate them if they no longer interest you in providing them anymore.

Creating Your Own Core Values. You get to set the tone for how your company is see. What’s most important. You can align it with your own personal values and infuse it into every aspect of the company.

Money. You don\’t draw a regular paycheck, not like you would if you were an employee of someone else. You get paid with what is left after expenses, taxes, etc. And you are solely responsible for generating your income. If your business idea flops or you don’t follow the right steps to create a successful business, you could lose your entire initial investment. BUT you also aren’t limited to what you can earn. If you work hard and set yourself up for success, it\’s possible to generate great wealth when you run your own enterprise.

Tax Benefits. Business owners can take advantage of a range of tax benefits despite paying higher Social Security and Medicare rates. They are allowed to accelerate or delay particular expenditures, hire family members and write off a greater variety of business expenses. These options can dramatically reduce the tax burden.

Health Benefits and Retirement. You’ll have to pay for your own health insurance unless you have a spouse who works at a company who provides them. If you are purchasing them yourself, you’ll find that you are paying higher premiums vs. what you paid as an employee. You’ll also be responsible for contributing to your own retirement account without any employer match.

Being your own boss can be both satisfying and terrifying. If you put in the hard work and dedication, you can achieve success in being your own boss. Just remember that it does come with its advantages and disadvantages – and you have to look at them all. The best way to make sure you start out on the right foot, is to have a mentor or coach, who can help you set yourself up for success and make sure you are ready to take the leap. Being your own boss can be far more rewarding than you can imagine.

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