Focus Group

Definition:

A controlled group interview of a target audience demographic, often led by a facilitator. A set series of questions or topics are covered, and the results are used to guide marketing efforts.

A focus group generally consists of five to 12 potential customerswho are asked their opinions in a group interview. Participantsshould fit your target market–for example, single men ages 18 to25, or working mothers. To find participants, just go to your localmall or college campus and ask people fitting your customer profileif they would answer a few questions. Typically, companies payparticipants $30 or more.

Although focus group interviews are informal, you should have alist of questions to help you direct the discussion. Start byasking whether your product or service is one the participantswould buy. If so, what is the highest price they would pay? Wherewould they shop for such a product? Do they like or dislike theproduct’s packaging? Your questions should center on predeterminedobjectives, such as determining how high you can price your productor service or what to name your business.

If you’re going the do-it-yourself route, you will probably actas the focus group moderator. Encourage an open-ended flow ofconversation; be sure to solicit comments from quieter members, oryou may end up getting all your information from only the talkativeparticipants.