Turning Ideas into Profit: Mastering Product Market Research

Part 1: Gauging Competition and Demand – Avoiding the Pet Rock Syndrome

Ever had a product idea that kept you up at night with excitement? So, you’ve got this “revolutionary” product idea. Maybe it came to you in a dream, or perhaps during a particularly long bathroom break. But before you mortgage your house, sell your car, and alienate your friends with your “once-in-a-lifetime” opportunity, let’s take a moment to see if anyone will buy it.

1. The Almighty Google: Leveraging Google Trends

Tool: Google Trends

How to Use: Type in keywords related to your product. If you see a steady upward trend, you’re onto something. If it’s flatlining or nosediving, maybe reconsider.

Example: Thinking of selling artisanal beard oil? Check if the beard trend is still booming or if clean-shaven is the new rage.

2. Amazon Best Sellers: Understanding Market Demand

Tool: Amazon Best Sellers

How to Use: Navigate to your product category. If similar items are in the top 20 consistently, there’s demand. But also check the number of reviews.

Example: Your handmade leather wallets might be a hit if leather goods are trending, but you have stiff competition if top sellers have 10,000+ reviews.

3. Keyword Tools: Assessing Search Volume and Competition

Tools: Ubersuggest, SEMrush

How to Use: Type in your product or related terms. High search volume? Good sign. But also check the competition score. High competition might mean a saturated market.

Example: Planning to sell gluten-free cupcakes? See how many monthly searches for gluten-free baked goods and how fierce the competition is.

4. Competitor Analysis: Learning from Others’ Traffic

Tools: SimilarWeb, Alexa

How to Use: Enter competitor websites. Check their traffic, audience demographics, and engagement. Thriving competitors mean a thriving market.

Example: Selling eco-friendly yoga mats? Analyze top yoga mat sellers to gauge the market size and see if there’s room for another player.

5. Crowdfunding Sites: Testing the Waters

Tools: Kickstarter, Indiegogo

How to Use: Search for similar products. If they’re getting funded, there’s demand. But also check how many similar products are getting funded.

Example: Got a revolutionary new board game idea? Check if similar games get backers and how many are in the same niche.

6. Social Media: The Pulse of Consumer Interest

How to Use: Join groups or follow pages related to your product. Engage, ask questions, and gauge interest. But remember, no spamming.

Example: Launching a new line of vegan skincare? Dive into vegan and skincare groups on Facebook to test the waters.

After this deep dive, if you’re still convinced your product will be the talk of the town, brilliant! But if the data suggests otherwise, it might be time to pivot or refine. Remember, facing a hard truth now is better than a harder reality later.

The Unicorn Product Dilemma

If your product is unique, you’re probably bouncing in your seat, thinking, ‘My product’s a unicorn! No one’s even sniffed this idea!’ But being the first can sometimes mean you’re just the first to step on a landmine, unless you’re swimming in cash and can afford to make the world fall in love with your brainchild.

Riding the Wave of Existing Markets

Here’s a pro tip: It’s often smoother sailing to ride the waves others have created. Just do it with more style, finesse, and a better game plan. This market research is vital to avoid wasting your time and money. Let me give you a personal example in the next blog post…

© 2024 Brightladder Inc. All rights reserved.

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