2: Target Market

Market research

Market research is used to identify a specific target audience, in my case who will be able to afford my service (wedding planner). It is about collecting information and evaluating them for better understanding. This type of research looks at primary and secondary research. Primary market research tends to be more up to date and some examples are surveys and focus group. However, secondary market research is resources online which have already been collected e.g. websites (govt stats) and agencies.

Sales forecasts

Sales forecast is used to identify and predict sale’s figures by using numerical methods such as evaluating past market trends. This process is used by businesses so they can arrange for investment and plan for making new product. Furthermore, it avoids unexpected cash flows difficulties.

Customer behaviour analysis

Customer behaviour analysis is used to get a better knowledge of who, how and why should customer buy a product. It considers buyers of all types of group such as families, friends, elderly people and children. It looks at what age group of people will prefer a particular product. For example, children will prefer to buy a remote car rather than a real one. This analysis looks at customer behaviour (choices). Surveys and certain websites can be used figure out customer behaviour analysis.

Competitor analysis

Competitor analysis studies the level of competition so they are aware of future threat and thus, try to create a unique selling point product. High competition is risky for business as it can reduce sales and profits but by having a low competition in the area, it allows the company to sell their items at high prices but still gain demand. This also refers to the strengths and weakness of competitors.

Category	Group	Type
Wealthy achievers	Affluent greys	Mature couples, small detached house
Comfortably off	Starting out	Young couples, flats and terraces
Urban prosperity	Prosperous professionals	Well-off professionals, larger houses and converted flats

Strengths and weaknesses

Strengths and weaknesses are identified by business so their can improve their performances in the future. Thus having a USP is a good element as it helps attract customers but having a weakness can force the business to shut down or perhaps. They will lose their existing customers. SWOT analysis is mainly used to identify these aspects. One of the wedding planner strength is that their venues will differ according to their cultures. However, one weakness is the presence of the business which will require excellent advertising. The business has an opportunity to work with partners in the future. Unfortunately, one of the threats is the weather which could affect wedding venues.

Market trends

Market trend studies the patterns of the market to see whether they are doing well compared to other businesses. It involves looking at sales and demand for specific product or service.

The economic outlook

Economic outlook is very important for businesses as it contributes to the success of the company. It outlines the entire positive and negatives points of the business that needs improvement. For example, how can VAT changes affect demand of a product? This refers to PEST analysis. One political issue is to have a wedding license that will legally allow me to plan for wedding. One economical issue is to provide an affordable service to customers whilst one social concern is to advertise the service effectively. The business should make sure people can afford the service online which is part of technology.

The “Green” agenda

The “Green” agenda is design to help business to operate successfully by concentrating on environmental issues. Therefore, it looks at consumer preferences e.g. packages (goody bags) made up of recycling materials.