How To Do A Market Analysis For A Business Plan

Vitamins are products that are good, useful, and maybe even important, but we can live without them.

The ultimate goal of the Market Analysis is to show where the burning need, the source of the pain, is in the market.

If your market segment is growing and is projected to continue to grow, talk about it and back it up with numbers.

If the trend is for new products like yours to sell well and replace older models, then say so.

If you are selling cars, state the total sales of cars in your geographical area for the most recently ended year.

This number will be important later when you forecast your sales because it will enable you to calculate what share of the market you expect to capture.These are all undeniably important points; however, they deserve a their own section and should be addressed in turn. A market, in this instance, refers either to a place where goods can be sold, or to a particular class of buyers. " that your product or service is sold, and the "Who? So what should you include in the Market Analysis section of your business plan?The first number you need to identify is the total annual sales, in dollars, of the market you serve.Doing so will help you and the reader of your plan understand where your specific product fits into the total market, and who the potential customers are.It is a good idea to indicate the geographic segments of your product's market, especially the market in which you sell.Certainly you can make up your own projection, but it will lack the credibility of a recognized authority on the subject and probably will serve only to make you look amateurish.There are several ways that you can break a market down into segments.The more detail you can provide about the customer segments that you target, the better.The level of detail you provide about your market's customer segments depends on the level of detail in your marketing plan.Once you have described the segments of your product's market, explain the trends, growth, and needs of the market.Turn your focus especially to the trends in the market segments within which your product fits.