STEP #6 IN-DEPTH MARKET RESEARCH
In this "in-depth"
market research step, everything in step #5 is verified with additional
and more detailed research information. Calculations are made to estimate
the market in terms of size (volume), share (potential), location, diversity
(if needed in several industries), and the stability and growth of each
industry involved (life expectancy). Customary channels of distribution
and the corresponding discount structure used are more accurately determined.
Additional time is taken to determine the exact manufacturing cost and
end-user pricing. Included are costs of any sales tools required (fliers,
brochures, price lists, audiovisuals, etc.) and the cost of packaging.
After-sale service, potential product liability, warranty and other legal
aspects, plus the entire manufacturing function are closely examined.
The leading associations, trade shows, publications and data bank sources
are determined. Once this information has been obtained, marketing strategies
are formed. If any findings from our research related to the invention
appear so detrimental to our ability to bring the invention to market
then the inventor is notified, and the agreement is terminated. If everything
appears positive, either Step #7 or Step #9 is next.
