Market and Idea Assessment
Markets
At the outset, desirability of any product can only be guessed at. The main benefits need to be assessed and listed along with those of existing or competing products, which includes different types of products solving the same problem. Market research is necessary to determine whether the market really needs a product of the kind envisaged, and if so, would people be prepared to buy at a reasonable price. It is also necessary to determine if a product can be made and shipped to the market at a viable price.
In summary, the following are areas which should be considered;
| Competitors |
Internet searching can give a good indication for most markets. |
Market value |
Market reports, available at the British Library, can help with calculating expected income. Income generated by companies selling similar products can also be used. It is best to be realistic in calculating your expected income, and to build in aspects that could affect it. |
Market culture |
What are the things that affect the market? e.g. trends in different countries. |
Market needs |
Some of this information will be available on the internet, but sometimes prospective customers need to be approached (without giving away confidential information). |
Route to market |
Is manufacturing appropriate via your own company, or would it be best to license the idea (and any IP) to another company? What are the steps of development for similar products? How are they supplied to the market? |
More information on researching markets can be found on the Business Link website.
Will the idea / invention work?
Whatever your idea or invention is, it will need to be proved at various stages of development that it will work. If it is possible to make a working model or prototype, this can be more attractive to organisations or companies which might support the idea. In some cases a basic or part prototype or working model is sufficient for early stages. Please see the section Development / Prototype Building for more on this.
SWOT analysis
It is always a useful exercise to carry out a SWOT analysis on any proposed product or business. A SWOT analysis is basically a review of the project or business, and looks at Strengths, Weaknesses, Opportunities and Threats.
It is best to be as thorough as possible, and to carry out such a review at various stages so action can be taken to solve any problems.
