Have you heard of that avocado toast restaurant? It closed in three months. Why? They did not know their customers. They skipped market research. Market research lets you understand what people are looking for. It prevents costly mistakes. What methods exist, then?
In this article, we shall also discuss the various methods of searching information. Let’s get started.
Methods of Primary Market Research
Primary research is essentially taking your information straight from the source. You collect data yourself. Your data is specific to what you require. How do we begin doing this?
Surveys
Surveys ask people questions. It can be done online, by phone or in person. Be sure your questions are clear. How many people do you want to ask? That’s your sample size. An adequate sample size yields valid results. Take a company such as McDonald’s. They frequently conduct surveys of how satisfied people are with their food.
Interviews
Interviews allow you to speak with people directly, one-on-one. In structured interviews, everyone is asked the same questions. Structured ones are more like step-by-step instructions. Focus groups get a small group to talk at once. To enhance your interviews? Be an active listener and ask follow-up questions.
Observation
Watch what people do. That’s observation. Ethnographic research means observing individuals in their native habitat. Mystery shopping is a practice where someone as customer to assess a service. IKEA uses the insights gained from watching people navigate their stores to optimize their store layout.
The method of research in the Secondary Market
Secondary research concerns data that already exists. It is generally less costly than primary research. It also saves a lot of time. So where do you dig up this information?
Industry Reports
These industry report keep you updated on specific industry. It discusses market size, trends, and key players. Where are these reports located? Sites such as IBISWorld or Statista.
Government Publications
The government collects a whole bunch of data. This involves population figures, economic stuff, and so on. Websites such as the U.S. Census Bureau. They provide a treasure trove of free data.
Academic Research
There’s a lot of research going on in universities. Well, consumer behavior is the subject of so many academical journals and studies. You can also learn a lot about market trends. The best places to begin your sbarch are Google Scholar
The qualitative methods of market research
Qualitative research is deep diving. It examines how people think and feel the way they do. Here you have opinions and motivations. How might we collect this type of data?
Focus Groups
Form a small group of people. Seek their input about your product or service. A moderator facilitates the conversation. They keep the group on track. Think of a toy company that uses a focus group to hear kids’ opinions on a new toy.
Ethnographic Research
For a very short time, tell people what to do. Watch what they do every day. It feels like you are a fly on the wall. This approach allows you to experience their lives firsthand.
Case Studies
Case studies focus on specific examples in detail. They can offer familiar insights into various markets. This is useful when you have very niche target audiences.
Quantitative Market Research Techniques
Quantitative studies are all about numbers. It’s about collecting data that you can quantify. You process it for patterns. How can you do this?
Surveys (Quantitative Analysis)
You can collect numbers using surveys. Use ratings based questions. Now analyze the data and what trends emerge. SurveyMonkey and similar tools can facilitate this.
Experiments
Experiments measure how people respond to changes. Do something differently in your marketing. Then, see if sales go up. This allows you to calculate the importance of your efforts.
Data Mining
Data mining involves discovering patterns in large sets of data. You can use it to learn who your customers are. It allows you to understand what they want. All of this is really important in doing market research.
Methods Involving Digital Market Research
A lot of market research is done online today. There are incredible ways to get insights through digital tools. Some common techniques include:
Website Analytics
Tools that put Website analysis track what visitors do on your site. One example is Google Analytics. It tells you where people are clicking and for how long. Monitor the bounce rate and the conversion rate. This is such valuable information!
Social Media Listening
Social media is a giant focus group. It is regularly expressed by people all over. To help you keep track of these conversations, there are social media listening tools available. See what people think of your brand. Discover what they are passionate about.
Online Surveys and Polls
Online surveys can be easy and inexpensive. You can talk to tons of people fast. SurveyMonkey, Google Forms, etc. They simplify the process of creating and sharing surveys.
Which Type of Market Research Method Should You Choose?
Choosing the right method is essential. How do you decide? Think about your goals, budget and timeline.
Define Research Objectives
What do you want to learn? Want to try out a new product? Do you want to know how customers feel? And be specific about what you need to know.
Consider Budget and Timeframe
Some methods are expensive. Others take a lot of time. They tend to cost more than online surveys. Decide what you can afford.
Integrate Multiple Methods
This variety provides the most complete image. Augment surveys with interviews. Validation of your primary outputs with secondary data
Conclusion
One of the crucial components for any business is market research. We have discussed primary and secondary methods. We also delved into qualitative and quantitative methods.” Digital approaches hold tremendous potential. Take what you learned here, and apply it to your business. Begin conducting your market research today. You’ll be glad you did.
