Kerrmunications was approached by a London-based company with various business interests in the UK.
The business owned and was refurbishing a building in Mayfair, London. The premises was mainly to be used as the company’s offices, but one floor was surplus. Due to its prime location in the heart of a wealthy part of London, it was considered suitable for potentially turning into a centre devoted to health and beauty or weight loss and fitness therapies for local workers.
The company wanted Kerrmunications to carry out some market research into the possible uses for the 100 square metre basement floor.
- Who comprised the optimum target market. How many workers were within a 20-minute walk of the facility, and how they could be broken down in terms of age, gender, socio-demographics, and so on.
- What would be the optimum service to introduce. Considerations included health and beauty treatments, spa and relaxation services, and fitness and weight loss options, such as the HYPOXI weight-loss service. The research was to determine which would be the most lucrative in terms of likely uptake of services.
- What competition there was. The research would analyse what competitive offerings were nearby, and how much they charged. The research would consider hair and beauty salons, day spas, hotels offering in-house services, and weight loss and fitness treatments.
- What the potential market would be. The value of the market in the target area was to be determined.
Kerrmunications shortlisted a number of specialist market researcher agencies, before choosing the most suitable for the project.
A site visit was carried out and a site survey was undertaken in order to gauge the size of the property, its access and its location with regard to the surroundings.
A plan for the research was built; questionnaires were written; sample sizes determined; business profile data was purchased and a timeframe was agreed.
46 telephone interviews were undertaken with companies within a half-mile radius of the property. Some businesses were specifically excluded from the sample on the grounds that they would not employ the expected target demographic or that they were competitors to the proposed venture.
49 street-based interviews took place in the local area, and interviewees were asked about their propensity for purchasing various health, beauty and weight-loss treatments.
In addition, information from several competitors providing gym and beauty services in the area was collected for further study and reference and mystery shopping trips to several competitors were made.
Geodemographic profiling of the catchment area and its workers was purchased from CACI, and included visual output overlayed on a map of the area.
Finally, desk research was undertaken to source industry research, determine general market figures, and establish which advertising and marketing platforms would best reach the target market.
Claire presented the report and findings of the research, along with the primary data, maps and spreadsheets. Initial findings showed that the working population in the area did not represent a lucrative business model for the proposed outlet, and it was on this basis that the company decided not to go ahead with their plans.
The research had provided a sensible and cost-effective way for the company to determine the feasibility of its plans.
Testimonials associated with this project:
I recently worked with Claire over a few months and found her to be an excellent communicator with the ability to remain focused and objective. Her personal style made the project enjoyable and rewarding. I would have no reservation about recommending Claire to anyone needing marketing support or to talk through ways of solving commercial challenges.
Michael Cleary, Director, Clear Marketing Solutions