An Inventory of BDS Market Assessment Methods for Programs Targeting Microenterprises

This technical note describes the market assessment methods used by 10 organizations in the Practitioner Learning Program (PLP) in Business Development Services (BDS) Market Assessment (MA). The note:

• Focuses on those methods which the PLP organizations actually used and found well-suited to investigating markets, including microenterprises;
• Provides an appraisal of the advantages, disadvantages and knowledge and skills required for the method;
• Suggests tips for using the method based on the PLP and other programs.

The paper lists the following assessment methods that were chosen by the group of PLP participants as the most suitable:

• Secondary research;
• Group discussion with micro and small enterprises (MSEs);
• In-depth interviews with MSEs, BDS providers and other stakeholders;
• Observation of the market;
• Market survey;
• Interaction workshops;
• Product concept testing.

The paper concludes that:

• A mix of different methods is most likely to achieve best results when researching MSE markets;
• The selection of the method mix is determined by the research strategy;
• It is important to maintain flexibility;
• Conducting an incremental MA worked well;
• MA, project design and implementation are not distinct, but overlapping activities;
• Projects that incorporate information gathering, pilot testing and frequent modifications to interventions will be best positioned to respond to evolving markets.