MAIN CONTENT
Continuing to explore our map (described in issues #011 and #012), we will now take an overview of the Market Analysis topic:
THE 6 CORE FRAMEWORKS OF MARKET ANALYSIS THAT COMPOUND
1. Anchor in Market Foundations: STP over Product Assumptions
Philip Kotler’s timeless 4Ps (Product, Price, Place, Promotion) remain useful, but in digital markets, STP (Segmentation, Targeting, Positioning) is where clarity begins.
Don’t start with assumptions about your product. Start with the market. Go beyond demographics to psychographics: the fears, values, and aspirations that truly drive behavior.
Example: A SaaS startup scanned Reddit threads about remote work and found a recurring theme: burnout fears. Instead of promoting generic productivity, they positioned themselves as a “5-minute stress-reset app” to fill that emotional void.
Action: Use AI-powered sentiment tools like MonkeyLearn to mine conversations. Segment by fear and aspiration, not just age or location. Validate through lightweight A/B tests or user interviews before building.
Kotler’s Insight: “People don’t buy products; they buy value delivered in context.”
2. Pinpoint the Niche: Empathy-Driven Audience Mapping
Seth Godin reframes market analysis as radical empathy. Forget mass market illusions. Success lives in your smallest viable audience, the dedicated tribe that cares deeply.
Analysis here is about listening. What do small communities whisper in Discord servers, niche subreddits, or LinkedIn comments? Godin’s Purple Cow principle reminds us: only the remarkable spreads.
Example: A content creator mapped 100 eco-conscious freelancers on X and discovered an unmet hunger for “guilt-free productivity hacks.” That insight fueled a targeted newsletter series that gained traction.
Action: Use SparkToro or manual mapping to track 100 potential tribe members. Document their pains, language, and desires. Build for them, not for “everyone.”
3. Decode User Habits: The Hook Model for Behavioral Insights
What people say they want often differs from what they return to. Nir Eyal’s Hook Model dissects this gap: Trigger → Action → Variable Reward → Investment.
True market analysis looks for retention signals, not just acquisition spikes. Does your offer create habits and loyalty, or does it plateau after the first use?
Example: An e-learning platform found course drop-offs at 20%. By introducing personalized quizzes as variable rewards, completion rates jumped to 55%.
Action: Audit your offer through the Hook loop. Identify triggers (notifications, reminders), define rewards (progress markers, gamification), and test for deepening engagement with tools like Mixpanel or Amplitude.
4. Navigate with Analytics: The See-Think-Do-Care Journey Map
Avinash Kaushik elevates analysis through his See-Think-Do-Care framework. It connects raw metrics to intent, exposing where customer journeys break down.
- See: Awareness
- Think: Consideration
- Do: Conversion
- Care: Loyalty
Example: A digital agency saw a 60% drop in the “Think” stage on Google Analytics. By adding video testimonials, they reclaimed conversions lost at that consideration step.
Action: Build a simple dashboard in GA4 or Amplitude:
- See → Reach (traffic sources, impressions)
- Think → Engagement (bounce, depth)
- Do → Conversions (sign-ups, sales)
- Care → Retention (cohorts, NPS)
Stop hoarding vanity metrics. Start asking: Where exactly is trust leaking?
5. Uncover Hidden Demand: SEO and Competitor Reverse Engineering
Demand leaves digital footprints. Brian Dean, Neil Patel, and Rand Fishkin converge on one truth: search data is demand made visible.
- Dean’s Skyscraper Technique: study top content, then build something better.
- Patel’s CAC/LTV lens: validate profitability before scaling.
- Fishkin’s SparkToro: map where your audience gathers and who influences them.
Example: A blogger used the Ahrefs platform to spot “AI ethics for beginners” as a low-competition, high-intent keyword. By publishing the most comprehensive guide, they 5x’d traffic and built authority in a new niche.
Action: Run competitor audits with Semrush or Ubersuggest. Identify intent gaps competitors ignore. Prototype offers (guides, webinars, mini-tools) where profitable demand is already signaling.
6. Iterate on Signals: Post-Launch Measurement Loops
Market analysis doesn’t end at launch. It compounds through iteration.
Andy Crestodina warns: “If it’s not measured, it’s just a guess.” Michael Brenner adds: “Content without ROI is noise.”
The smartest solopreneurs track three core signals:
- Shares → Did this idea deliver value?
- DMs → Did it spark trust and conversation?
- Subscribers/Sign-ups → Did it align enough to earn commitment?
Example: A solopreneur tracked weekly shares on X. When niche deep-dives outperformed broad posts by 3x, he pivoted his strategy. Engagement compounded.
Action: Design a Notion or Google Sheets scorecard. Track those three metrics weekly. Let the feedback guide refinements. The market is always speaking; analysis is learning to listen.
