The limitations of online market research
Online market research can only tell you what’s been happening in the recent past. There is no guarantee that it will hold true going into the future.
Things change. I’m writing this in the summer of 2009. Last fall we had what amounted to an economic collapse. Some markets that had been doing well tanked without warning and others increased dramatically.
So keep in mind that you are researching past behavior that may or may not hold true in the future.
The data you collect is just a snapshot in time. This is even more true with the competition numbers which tend to be much more fluid than the number of searches.
How to adjust for these limitations…
Once you have a group of keywords, test them. Throw up a no frills website (WordPress blog recommended) and see if you can generate the kind of traffic you thought you could.
Once you have the traffic, you need to make sure you can sell them something. Rather than developing your own product, think about selling someone else’s affiliate product through Amazon or Powell’s.
2. Use Google Trends
Though still a backward look Google trends can show whether the market is increasing or decreasing. It will also alert you to seasonal fluctuations that are typical for a particular keyword.
3. Watch your Stats
Google Analytics is one of the greatest tools out there and I highly recommend you use it.
4. Review your Research
Periodically review your research. I review mine every month or 2 with a particular focus on what the competition is doing.
5. Know your Market
Stay connected with your market so you know what’s going on, and be prepared to respond quickly to any changes.
6. Have Multiple Streams of Income
This may mean different products within the same market, different products in different but related markets, or it could mean products in a completely different market.
Having multiple sources of income is your insurance against market changes, Google whims and economic fluctuations
Tags: online market research