Cre8tive Logic Insights

Unveiling the Market Terrain: How Cre8tive Logic Uncovers Market Insights

June 2022 | Written By David Yovich

In today's era of GPS, many of us have forgotten the experience of reading a map. Interestingly, when you're unsure of your location, maps become quite useless.

In today's era of GPS, many of us have forgotten the experience of reading a map. Interestingly, when you're unsure of your location, maps become quite useless. Similar to using a map, developing a sales and marketing strategy is only effective if you have a clear understanding of your current position.

Cre8tive Logic specializes in helping organizations not only determine their current position, but also assess the state of the market(s) or industry sector(s). Recently, they were contracted by a company in the building products industry to conduct research on the market viability of launching a new product line. Initially, there was a general belief among all parties involved that the new product line was a perfect fit and that the market was on an upward trend. The current market was not dominated by any major players based on brand recognition, and the product category was widely regarded as the next big trend in kitchen design. However, due to the significant costs associated with launching a new brand and gaining market share, the organization felt it was crucial to attain a better understanding of the market dynamics.

Approaching the project with a well-defined plan, Cre8tive Logic conducted primary research to evaluate the findings, determine the market opportunity, and identify the best path to achieve maximum return on investment (ROI). They selected ten diverse metropolitan areas across the United States and conducted phone surveys with kitchen and bath remodelers in each location, aiming to gauge current product demand, predictions for future demand, and purchasing preferences (directly or through retailers). Additionally, Cre8tive Logic targeted interior designers with a similar phone survey. To gather more data reflecting commercial projects, they conducted a national web-based survey targeting architects. Once all the data was compiled and analyzed, a different picture emerged compared to the initial hypothesis.

Despite consumer publications predicting rapid popularity for this product category, the market influencers, who hold significant sway, did not share the same sentiment. Initially, the plan was to launch a completely new product brand, develop a website, and launch an independent marketing campaign separate from the parent organization. However, based on Cre8tive Logic's findings and recommendations, the company decided to launch the product within its existing product line. This approach protected the organization from excessive spending on a separte brand launch while still allowing them to penetrate the market and gain share without unnecessary risk and additional financial exposure.

The underlying questions for your company are: Do you know where your company is positioned in the market? Are you fully aware of the competitive situation and do you have a comprehensive understanding of the market's direction and trends?

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