Originally published September 9, 2015 , updated on May 31, 2023

Published Date: The date when the blog went live on GL website. Updated Date: The latest date when the GL Content team updated this blog.

Conducting a market analysis should be the first step in compiling a business plan. Whether you are starting up a new business or whether you are attempting to spice up your existing company, your analysis should be refreshed once a year.
Quite obviously, markets change. That is the nature of human existence. Wants and needs are ever-growing, constantly changing, and (with the evolution of technology) becoming more and more complex. In doing your market analysis, what you should be looking at is your potential market rather than your existing client base. You already have your current clients in your back pocket. You know what keeps them happy. What you need is access to a wider client base. You need to find a way to not only dip your toes into this pool of untapped customers, but to swim with the big fish and rise to the top of the food chain.

Consider your favourite restaurant. Its client base includes not only regular patrons, but pretty much anyone within easy travelling distance. If the establishment is a specialty restaurant, their targeted customers will include anyone with an interest in that specific cuisine. Essentially, that is how market analysis works. You need to find a way to cast a wider net to bring in the customers you do not yet have instead of being complacent about the ones who do make use of your services on a regular basis. Success depends on your ability to adapt and survive in a world that is getting bigger by the day.