How To Conduct Market Research That’s Actually Useful
Market research—it’s the thing every new entrepreneur hears they need to do. But let’s face it: most people treat it like busywork. It’s a box to check before jumping into the real fun of building a business. And when it feels useless, it’s usually because no one told you how to do it right.
Good news: I’m here to change that. Market research can be a total game-changer if you know how to conduct it and, more importantly, how to use it.
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And now...5 Tips for Conducting Market Research That's Actually Useful
1. Start with the Market Research, Not a Product Idea
Here’s the deal: Starting with an idea feels intuitive, but it’s risky. Why? Because you might:
• Build a product nobody wants.
• Completely miss your target market.
It’s fine to have an idea you’re excited about, but you have to adapt it to the market. Product-market fit is the golden ticket to success, and that’s impossible without research.
Seth Godin nailed it:
“Don’t find customers for your products, find products for your customers.”
Actionable Steps:
• Start with customer interviews. Ask about their frustrations and goals.
• Look for patterns in the problems they mention.
• Use this data to shape your idea into something people actually want.
2. Start with Exploration, Then Move to Validation
Think of market research as a two-step dance:
• Step 1: Exploration – Forget your assumptions. Ask questions, listen, and learn as much as you can about your audience.
• Step 2: Validation – Once you’ve identified a pain point, test your solution.
Why It Works:
Airbnb started with exploration. The founders noticed problems with traditional vacation rentals and asked people what they disliked about hotels, VRBO, and similar services. The result? They built a product that solved real problems and hit 10,000 users within a year.
Actionable Steps:
• Exploration: Conduct customer interviews. Ask open-ended questions like, “What’s the most frustrating thing about [problem]?”
• Validation: Test a simple version of your product (landing page, prototype, or even a demo video).
3. Build Your MVP With Customer Feedback
MVP—Minimum Viable Product—is one of those entrepreneurial buzzwords we all love to toss around. But here’s the catch: An MVP is only useful if you act on the data it produces.
Dropbox nailed this. During their exploratory phase, they discovered 77% of respondents struggled with syncing files across devices. They validated the idea with a simple explainer video, which racked up 75,000 email sign-ups in 24 hours before the product even existed.
Actionable Steps:
• Ask: What’s the simplest version of my product I can release and test?
• Launch a landing page or waiting list. Track how many people show interest.
• Use feedback to iterate. Market research doesn’t stop after launch!
4. Develop Customer Personas That Are Way More Specific Than You Think They Should Be
“Target audience: Anyone who likes coffee!” Nope. Vague personas like that won’t cut it. Specificity is your superpower.
Why Go Hyper-Specific?
• You’ll get more bang for your marketing buck by targeting a smaller, more engaged audience.
• You’ll turn early adopters into superfans who evangelize your product.
• Your MVP will meet a specific need, making it more effective.
Example:
When I launched Declutter USA, I thought I could serve everyone. But my best customers? People who had just moved. I targeted recently sold homes, found contact info, and cold-called potential customers. The results? “That’s awesome! I just sold my house, and I have a ton of stuff to get rid of!”
Actionable Steps:
• Write a super-detailed persona. Include demographics, habits, pain points, and goals.
• Narrow your focus to a single, specific group.
• Test your messaging and product with them before expanding.
5. Turn Market Research Into Action
Here’s the secret sauce: the difference between “meh” research and game-changing research is what you do with it. Insights are useless unless you act on them.
Jeff Bezos put it best:
“Consumer needs and behaviors are always changing. The companies that adapt fastest will win.”
Things You Should Do Post-Research:
• Develop or refine your product.
• Test pricing models and adjust based on feedback.
• Optimize your marketing messaging.
• Build a killer website or landing page.
• Launch and pivot as needed.
Actionable Steps:
• Write down the top 5 insights from your research.
• Match each insight to a specific action or decision.
• Set a timeline for implementing those actions.
Final Thoughts
Market research doesn’t have to be boring, overwhelming, or a procrastination tool. When done right, it’s the map that guides your business to success. Remember: research, test, iterate, and grow.
Suggested Resources
• Small Business Administration
• American Marketing Association
Take the quiz to find the best tools for your market research—and start building something people actually want.
