Types of Market Research: An Overview

Market research is the process of gathering, analyzing, and interpreting data about the target market and customers, which is used for decision-making. It aims to help a business understand customer behavior better as well as give insights into the best strategies for market development and new product launches. Market research is important for businesses because it helps them identify any potential threats and also gives them ideas of opportunities they can invest in for great returns on Return on Investments [ROI]. According to research done by Hanover in 2022, 80% of businesses carry out market research to gain insights into decision-making.

There are four different approaches to market research which are; primary research, secondary research, qualitative research, and quantitative research. Primary research is more labor-oriented and gives more actionable results. For example, interviews and surveys. Secondary research, on the other hand, involves sourcing information from existing sources such as government databases and online sources. Qualitative research collects and analyzes non-numerical data to come up with a hypothesis, an example is focus groups. It is used jointly with quantitative research which tests this hypothesis, an example of quantitative research is the TURF analysis.

Conducting Online Market Research

Online market research is data collection from a specific target market online. With the increasing internet across the globe, online market research has become popular among businesses. It helps them understand their target market and product development. Below are the benefits of online market research:

• Online sources such as the Internet are fast.
• Online sources are cost-saving.
• These sources can reach a wide target of potential customers.
• Flexibility of respondents.
• These sources can reach hard-to-find groups thus increasing the potential market.

Common Methodologies in Online Market Research and When to Use Them

1. Online surveys

Online surveys are one of the main methods of online quantitative data collection methods for research. Businesses can use online surveys to track factors such as customer satisfaction, compare various groups like gender to understand similarities and track patterns in consumer behavior. Below is a step-by-step guide on how to conduct online surveys:

Step 1: Create a draft questionnaire.

Step 2: Perfect the draft and create an online questionnaire using data collection systems.

Step 3: Install the questionnaire on a server attached to the internet and link it to a database to store the results.

Step 4: Test and approve the survey questions.

Step 5: Invite people to take the survey, for example by sending invitations on a database.

Step 6: Collect the data and monitor the progress of the survey while adjusting elements like the quota controls.

Step 7: Close the survey and download the data for analysis.

2. Panels and databases

These are data collection methods where the respondents have agreed to help in carrying out the market research. A panel is a group of people who have signed up with an organization that provides people to conduct market research surveys. The researcher should consider a variety of factors before choosing the panel which are; cost, quality, and capacity.

Databases are information that the company has on their customers. The business contacts its clients to conduct market research. Online panels and databases can be used to understand consumer consumption and to understand the audiences’ perception of a product.

3. Online focus groups

These are the internet equivalent of the traditional focus groups. Researchers use chat software, for example, zoom, to hold a meeting and conduct discussions. Researchers can use this method to gauge the attitudes of customers to an idea.

4. Parallel in-depth interviews

This is a method of conducting multiple interviews in parallel. They are usually conducted in such a way that respondents cannot see the responses of fellow interviewees. Only the moderator can see the answers given by each person. This is done to gain B2B insights or explore consumer attitudes towards certain products.

Online Market Research Tools to Improve Market Research

These are tools that help businesses gather data about their target market for strategic decision-making. They are such as data analytics and organic research. Below is a comprehensive guide on these tools:

1. Organic search

Organic research is how most customers look for a certain product online. Researchers take note of the ‘keywords’ used by consumers to optimize their business websites to rank higher in the results. ‘Keywords’ are the words typed into the search engines by consumers.

2. Customer Relationship Management [CRM] software

This software records customer’s previous data thus enabling businesses to contact customers who have interacted with the business to gain information on their experiences and how they can provide better services.

3. Competitive intelligence software

This software gives the researcher detailed information about the competitor such as the competitors’ gross profit, sales, and business performance.

4. Surveys

Surveys gather data from a specific demographic of people. Researchers can use this market research tool to gain information for decision-making.

5. Data analysis software

Data analysis software such as NVivo is used to analyze data collected from various sources. The software runs the analysis allowing them to obtain accurate results from the data which is in turn used to make market research reports.

What is Paid Market Research?

Paid market research involves hiring expert market research analysts to conduct your market research analysis for your business or organization. These researchers handle every step of the process from identifying the research problem to reporting the market research results. Hiring these services is very beneficial because:

The researchers have extensive experience and expertise from handling market research projects in the past. They can come up with actionable results that can lead to business improvement.

Market research services offer customized solutions depending on the request of the business. Whether it aims to bring customer satisfaction, launch new products, or improve its services, market research analysts can handle it.

The market research process is long and needs a technical understanding of various concepts. Market research analysts can save time that could be used to carry out the analysis while assuring the business of a comprehensive analysis with accurate results.

Market research analysts have access to a wide range of resources like databases hence improving the quality of the research by coming up with accurate actionable results.

Leveraging these services is cost-effective because despite there being a cost to carry out the analysis, the long-term results are beneficial since they return the investments and make profits.

Why Choose Our Premium Market Research Service

Choosing our market research services helps your business gain a competitive advantage against your business since our analysts evaluate the competitor's methods.

Our market research services enable you to plan strategically thus enabling you to maximize your business's full potential.

Hiring our market research services enables you to identify future potential risks hence enabling you to avoid them.

Market research identifies potential products that would sell hence allowing room for business expansion and product development.

Our market research services track your business performance thus enabling you to make any necessary adjustments to get the best results.

Our services also enable your business to gain a comprehensive understanding of their customers’ preferences hence adjusting their business to satisfy their needs.

Summary

Market research enables a business to understand its target market through data collection and analysis. A business can choose to collect the data first-hand through primary methods of data collection or use existing sources to gain information. These methods of data collection can be through conducting interviews, organizing focus groups, or using online methods such as online communities.

Alternatively, a business can choose to hire an expert market research analyst. They take up the responsibility of conducting your market research and one can be assured of quality assurance. Are you looking for someone to do your market research analysis for you? Our premium market research services are here to help. Reach out to us now to know how!