Executive Summary
This report provides the data describing the target market for the company’s potential “do-it-yourself” magazine, and, on the basis of that data, supplies rationale for further funding of the research of this market.
Rooms that are often remodeled by homeowners
Our study has found that nearly 60% of homeowners plan to remodel their kitchens and other parts of their dwelling, which presents us with a major opportunity to launch a DIY journal. However, it is crucial to identify the final aims of remodeling that homeowners carry out, so that we may address their tastes more specifically.
The amounts of money that homeowners are planning to spend on remodeling
Nearly 39% homeowners plan to spend $10,000-20,000 on remodeling. This data supplies critical guidelines for our future magazine, showing us what audience we should expect. However, more detailed research is needed to further segregate the target audience and not to lose this major opportunity to launch a new magazine.
The tasks that homeowners are planning to do
Virtually all the surveyed homeowners plan to paint (100%) and demolish something (98%) in their flats or houses; many also wish to do plumbing and tile work and to conceptually design their dwellings. This provides the basic information for the future contents of our magazine, but it is paramount to gather more detailed information (e.g., about the types of conceptual design preferred nowadays).
Research Cost
Therefore, it is essential to conduct a further study if the DIY magazine is to be successful. We cannot neglect such an opportunity in the situation that the company is currently in. The research will require nearly $18,000.
Introduction
The research conducted by our specialists has revealed that many homeowners are currently planning to rebuild or redecorate their homes, or even are carrying out these tasks. These homeowners intend to make the changes themselves, which opens a window of opportunity for our organization. More specifically, it is possible for us to start a new “do-it-yourself” (DIY) magazine aimed at homeowners planning the heavy-duty projects. However, further market research is needed in order to more precisely identify the editorial direction of the magazine, as well as to confirm the size of the target market. For this purpose, additional funding is required.
Data Review
Rooms That Are Often Remodeled by Homeowners
The study conducted by our researchers unveiled which rooms the homeowners most often aim to remodel or redecorate. The results of the study can be found in Table 1 below. It is easy to see that most homeowners are planning or are currently working on such rooms in their homes as the kitchen (60%), the bathroom (48%), and the home office/study (44%). Also, the popular rooms to be remodeled by the owners of dwellings are the bedroom and the media room/the home theater.
Therefore, Table 1 clearly demonstrates that at least 60% of the surveyed homeowners are planning repairs in their homes; this number is quite likely to be considerably greater, for the 40% who do not plan repairs in the kitchen might be included in one or more groups that plan to tackle a remodel or are already doing so.
However, the results of this study are not abundant in detail; for instance, it is not known what the final aims of the homeowners are, i.e. what results they wish to obtain after the remodeling. Thus, a further study aimed at finding out the final aims of the remodeling planned by the homeowners is required for our company to be able to more specifically address the needs of our potential customers (McQuarrie, 2015).
Table 1. Rooms Which Are Most Often Remodeled by DIYers (Thill & Bovee, 2016, pp. 483-484).
The Amounts of Money That Homeowners Are Planning to Spend on Remodeling
Our researchers have also estimated the amounts of money that homeowners are planning to spend on remodeling their homes. Many individuals (39%) wish to spend nearly $10,000-20,000 on repairs (see Table 2). Approximately the same proportion of homeowners – 21% and 22% – are going to spend $5,000-10,000 and $20,000-50,000 to remodel their dwelling. Finally, nearly 13% of respondents desire to use $50,000 or more on remodeling and redecoration. This means that our journal should primarily be oriented on individuals who plan to utilize approximately $10,000-20,000 on their home’s redecoration, but the persons who are going to spend $5,000-10,000 and $20,000-50,000 should also serve as the target audience (Percy & Rosenbaum-Elliott, 2016). However, it is still unclear how the estimated amounts of money are distributed in the given categories; for instance, it is unknown whether out of 39% of owners planning to use $10,000-20,000, most of them are willing to spend sums closer to $20,000 or to $10,000. Therefore, further research is needed; it will also allow for more precisely assessing the size of our target market (Wenzel, 2012).
Table 2. Mean Amount of Money Spent on Remodeling (Thill & Bovee, 2016, pp. 483-484).
The Tasks That Homeowners Are Planning to Do
Our study also found that virtually all the surveyed homeowners are planning to paint their flats (100%); see Table 3. Also, many individuals who own houses or apartments plan to demolish something in their dwellings (98%), to perform some plumbing (91%), as well as to do tile work (90%) and to conceptually design their interiors (90%). Thus, our future magazine should include an adequate amount of information related to painting, demolishing walls, and plumbing; the issues of tile work and of conceptual design should also be covered. On the other hand, such activity as heating/cooling (22% of respondents) might be omitted.
However, it is crucial to be aware of the plans of the homeowners in more detail. For instance, it is yet not known what types of conceptual design the majority of the homeowners prefer (Sully, 2015). An additional study is needed to shed light on these problems (McQuarrie, 2015).
Table 3. Tasks Done by Owners of Homes in the Process of Remodeling (Thill & Bovee, 2016, pp. 483-484).
Conclusion and Recommendations
Therefore, the analysis supplied above demonstrates that there are a large number of individuals who wish to remodel or redecorate their houses or apartments. This fact reveals the opportunity for our company to launch a DIY magazine helping the homeowners to carry out the repairs. However, further research is needed:
- to find out the final goals of remodeling;
- to discover in more detail what percentage of the population are planning to spend which amounts of money on redesigning, as well as to confirm the size of the market;
- to specify the tasks that the home owners wish to carry out in their dwellings.
Unveiling these aspects should permit us to better grasp the opportunity of launching a DIY magazine by more specifically aiming it at the most prevalent groups of homeowners (Phillips, Bothell, & Snead, 2012).
Therefore, the editorial board of this company is asked to provide funding which would be adequate for conducting the specified research: $18,000; nearly $6,000 on each of the three items listed above.
References
McQuarrie, E. F. (2015). The market research toolbox: A concise guide for beginners (4th ed.). New York, NY: SAGE Publications.
Percy, L., & Rosenbaum-Elliott, R. (2016). Strategic advertising management (5th ed.). Oxford, UK: Oxford University Press.
Phillips, J. J., Bothell, T. W., & Snead, G. L. (2012). The project management scorecard. New York, NY: Routledge.
Sully, A. (2015). Interior design: Conceptual basis. Cambridgeshire, UK: Springer.
Thill, J. V., & Bovee, C. L. (2016). Excellence in business communication (12th ed.). London, UK: Pearson.
Wenzel, A. M. (2012). The entrepreneur’s guide to market research. Santa Barbara, CA: Praeger.