Many businesses that establish themselves without putting proper thought into defining a good market, may subsequently fall off the radar sooner or later, or fail to succeed beyond banal profits and income. The idea of a good market is a crucial aspect for any new business to consider, and if your idea doesn’t satisfy a good market, then the venture may produce more sweat than cream, and ultimately prove not being worth it. So how can you make sure your business idea is congruent with a good market?
A good market is comprised of three main criteria being measurability, profitability and accessibility. Measurability means that your market niche can be assessed and that you’ll be able to conclude market trends,find out consumer preferences regarding your products or services and also be aware of your market size. Profitability indicates whether a market is worthwhile in terms of it’s potential for profit and evidence of foreseeable demand, market size and other factors. For example, if your market only targets large men, then it’s lack of versatility may see fewer profits. Accessibility refers to being able to effectively reach your market through advertising while maintaining budget. It also means that the market you’re targeting has easy access to your business.
Establishing a good market for your business may be the difference between success and failure or regular and considerable profits. The above criterion should be used when defining a market for your business, and will help you work out whether a good market exists and whether you should move forward with your venture.