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The Role of Market Research in the Product Planning and Development Phase

 


Launching new products without thorough market research is equivalent to ship navigation without appropriate direction tools. For product managers at medium-tech firms and C-suite executives who manage product divisions, market understanding goes beyond being advantageous—it becomes a matter of necessity.

Testing and analyzing customer needs is the essential base of product creation, while no market research leads to reduced marketplace performance, revenue losses, and loss of business value. For example, using a Google Sheets budget template, a team can plan the total cost that is involved in that particular project.

In this article, we will look into some of the steps that a product manager must take during the planning phase before delving into the development process.

1.      Finding the Needs and Pain Points of the Customers

Success for any product depends on its capacity to address actual client problems or satisfy real customer needs. Through market research, product teams obtain detailed information about customer behavior,including their tastes, annoyances, and unaddressed needs.

Through qualitative interviews, surveys, and ethnographic studies, product managers can access target users' daily life perceptions. This process derives product features from genuine real-world expectations, eliminating biased assumptions and internal organizational bias. Senior officials who receive these insights verify that the proposed product supports their vision and company goals before investing significant resources.

2.      Checking Market Demand and Product Viability

The success of any product depends entirely on the existence of a viable market. Data-driven research enables organizations to quantify customer interest so they can decide whether production expenses and entry costs make financial sense.

Analytical tools that combine trend analysis with competitor benchmarking and industry forecasting create significant value in market assessments. Analyzing market sizing data lets senior leaders evaluate product commercial potential to form investment priorities. Product managers build better forecasts, roadmaps, and go-to-market plans by utilizing real data that substitutes for haphazard assumptions.

3.      Identifying Competition and Finding Their Playbook

A product team needs market research to find existing solutions and examine competitor advantages and disadvantages to recognize available innovative opportunities.

Having complete knowledge about competitor offers as well as their shortcomings enables businesses to build distinct products. Senior officials benefit from this insight to establish strategic positions while preventing duplicate features already available in the market.

The process enables organizations to construct products that surpass market requirements by establishing themselves as leaders in quality standards and functional capabilities. A content calendar template from Google Sheets can help a brand derive key insights from the competitor, find what’s working for them, and plan toward implementation.

4.      Reducing the Risk of Failure

Lack of research during product planning will result in dangerous decisions, inadequate market alignment, and surplus financial waste. Market research provides advanced warning about possible mismatches between a product and its target audience.

Following these strategies, a company can complete a well-researched plan to launch new products, develop novel ideas for go-to-market, and target the correct set of customers.

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