Market research is a branch of marketing research. In addition to sales markets, other markets can also be included in the investigation, such as the procurement market. The area of market research thus serves to systematically research a sub-market and is an important point in marketing for every company.
What is market research?
The aim of market research is the early identification of trends, risks and opportunities for the corporate markets. The risk assessment, in particular, means that wrong decisions can be better forecast. In addition, market research can positively influence the will-making process within the company and ultimately the decision-making process. Qualified.One research can give you all the market research reports which will help you before investing.
Classification and methods of market research
Depending on the survey objective, a distinction is made between quantitative and qualitative market research. In quantitative market research, statistical values are usually collected using objective findings. One tries to consciously take out opinions and attitudes.
On the other hand, there is qualitative market research, which examines, for example, motives for certain behaviors and also uses opinions and motives. Often indirect questions or control questions are asked to prevent counterfeiting. Psychology is used for this, which is why one also speaks of psychological market research.
The data are collected in a targeted manner, for example within certain population groups or in certain age groups. Various methods are offered with which the information can be collected. The methods of market research are also divided into two sub-areas. One speaks of primary and secondary market research.
In primary research, all possible research methods are used to collect data for the study. These can be interviews, group discussions random samples through telephone conversations or written surveys. In desk research, already collected data is analyzed.
The results of previously conducted studies or other indicators that have already been collected can be used here. This includes sales statistics, complaints, price lists,
Market research institutes
Large companies usually have their own market research departments that deal with market analysis. However, smaller companies often find it difficult to conduct their own market research. And so the studies are left to most of the market research firms that specialize in such studies.
The market research companies have a larger database and the experience to assess which method is best suited for the problem to be investigated. Among other things, the company surveys consumers, collects data about existing competitors and their products, and also shows facts about its own corporate environment. The three largest research companies worldwide are
- The Nielsen Company
- Kantar Group
- IMS Health
with total sales of over $ 10 billion a year. The three largest German market research institutes are
- Society for Consumer Research
- TNS Infratest
Benefits for companies
The results of market research form the basis for diagnosing and forecasting future market and product developments and thus for planning strategic and operational marketing measures (marketing).
Without the collection of this data, companies run the risk that a haphazardly developed and marketed product will not be accepted by consumers and that the company will generate a loss. Another important aspect is customer loyalty, which any company can achieve through market research.
Extensive studies provide information that supports every company in the planning and development of new products and shows them whether these goods are wanted by consumers and are therefore bought.
In most cases, market research companies work closely with the marketing departments of the individual companies. This alternative is particularly popular because the collection and evaluation of information for a new product launch is very time-consuming and costly, and the work involved is therefore often outsourced to a professional institute.
The modern survey methods also ensure that the later product is well received by consumers, the goods sell well, the company’s sales are increased, and customer loyalty is ensured over a long period of time, which in turn secures sales.