Market research is currently the basis of a successful business as the analyses carried out help entrepreneurs to make the right decisions, invest in projects with great potential, and adapt their marketing strategy to the current market requirements.
What exactly is market research?
Market research is the set of systematic activities aimed at collecting, analysing, and interpreting information about the processes taking place in the market. It identifies basic market mechanisms such as demand, supply, prices, consumer behaviour, and competition. A good market research methodology allows a better adaptation of the offer to the current needs and expectations of consumers and facilitates strategic decisions regarding the introduction of new products or services, the improvement of the current offer, or the dedication of marketing messages to the appropriate social groups.
Market research divisions
There are two main groups of market research: market analysis and forecasting. The former is used to learn more about current market phenomena and processes, while the latter is used to predict the future market situation. On the other hand, in market analysis, three areas of analysis can be distinguished: market balance, market capacity and market absorption analysis. By adopting the best market research methodology, you will have reliable data for your marketing research.
Types of market research
Primary research: based on the data obtained for specific research, you can collect information yourself or outsource it to an external company.
Surveys: conducted by phone, in person or online, the topics of the questions and their level of detail are entirely up to us and our needs.
In-depth interviews: allow you to ask questions in order to obtain a more precise and satisfactory answer.
Research groups: consists of a discussion of a group of people, appropriately led by a moderator.
Observation: this is a time-consuming and tedious method, but it allows you to gather objective information about how customers really feel about a given product.
Secondary research: it is based on previously collected data that is publicly available, published in newspapers, magazines, or online. The downside of this market research methodology is that anyone can use the same information, it may be out of date and you have no influence on the data collection process. However, it is one of the easiest and cheapest ways to determine current market trends or predict changes.