Distilling Market Insights through Market Research
Market research – the set of techniques used to gather information – is at the core of successful marketing strategies. Translating consumer behaviour, preferences, and data into meaningful insights can, in fact, chart concrete and actionable pathways for the growth of any organisation. To gain deep consumer understanding, a host of market research techniques, ranging from primary to secondary market research, can be employed to derive powerful qualitative and quantitative insights.
Primary Market Research
Primary market research involves the collection of information, directly from consumers, which comprise both individuals and groups. The data collection may be executed either by the organisation itself or by an appointed agency.
While primary market research can be resource-intensive in terms of time, effort, and cost, it boasts numerous benefits for any organisation. Primary market research consists of first-hand consumer data, and organisations can further fine-tune the type of questions probed and responses collected, to meet their specific objectives. Specificity of insights becomes possible– unique segments of the market is able to be targeted, along with issues the organisation may be facing. Primary research methods enable deeper understanding of consumer attitudes, motivations, and preferences, as well as control over any data collection – including the survey design, selection of participants, and method of collection.
With a clear objective in mind, organisations can choose from a myriad of primary market research methods, keeping in mind the objectives and insights required. Some of the commonly deployed primary market research methods include:
- Online Surveys: Surveys involve presenting a set of structured questions to a sample size of respondents, through an on-screen questionnaire or email. These surveys can be built to encompass a series of questions, ranging from demographics, usage rates, to feature preferences and buying behaviours. Beneficial for collecting quantitative data to gauge opinions, preferences, and behaviours, such surveys are useful and relatively inexpensive and easy to conduct. With selection of parameters such as the preferred age, gender, and country of participants, online surveys are one of the most used market research techniques, often yielding very successful outcomes.
- Interviews: In-depth interviews involve one-on-one interactions between researcher and target consumer, conducted during face-to-face sessions. For one, these sessions are convenient, being able to be executed via live conferencing. They also carry vital non-verbal cues, crucial in deeper consumer studies. Interviews are, in fact, one of the most insightful primary market research methods, affording the researcher avenues to build trust, rapport and open communication. During an interview, researchers are given space to probe and clarify through follow-up questions; and the flexibility to adapt these questions based on responses from participants. This method is perfect if authentic, deep understanding of consumers are needed.
- Observational Research: Observational research involves the watching and recording of behaviours of target audiences in natural settings, that include retail environments, public arenas, or online spaces. For instance, we may record consumers’ considerations and preferences, when they’re shopping in a supermarket. This particular research method informs us on accurate representations of consumer behaviour, no matter how complex, reducing numerous biases and the possibility of Hawthorne effect (the alteration of behaviours due to the awareness of being observed) in the process. Observational research can be conducted over a period of time, to identify patterns and trends of behaviour in a particular consumer group.
In addition to the primary research methods outlined, which researchers often combine, market research can also include other approaches. This can involve panel discussions, where a small group of participants deliberates over a product with the guidance of a moderator; mystery shopping, used to anonymously survey a business or service; and social media listening, which provides insights into popular consumer sentiment. Another valuable method is obtaining insights from a Marketing Agency for SaaS. These agencies specialize in analyzing data specific to the SaaS market, providing businesses with targeted strategies based on trends, customer behaviors, and competitive analysis. By working with a marketing agency for SaaS, companies can uncover deeper insights and optimize their marketing efforts to drive better engagement and conversions.
Secondary Market Research
A step below primary market research, is secondary market research, the collection and analysis of extensive data, previously gathered by other sources. This is sometimes referred to as desk research. Desk research is rather more passive, enabling any organisation to assimilate insights, inform decision-making, without any direct interference on its target audience. Desk research is useful for quick knowledge on any general industry, and its trends, competitors, prospects, and generic consumer behaviours. Moreover, desk research typically supports primary research processes.
Secondary research methods can include:
- Published Reports or Books: Reports published by government agencies, industry associations, market research firms, and other organisations can serve as sources for secondary research. Excerpts from books, academic journals, magazines, and newspapers, are also secondary sources of data, from which facts like industry trends and spending power can be gleaned.
- Online Databases: Online databases and repositories, reservoirs of research findings, are also potent secondary market research material, offering information such as audience demographics, market size and market viability that can empower decision-making.
- Internal Records: Internal records detail the institutional data of an organisation, and these range from sales records, product revenue, market share, to customer databases, and historical performance metrics. Studying the internal records of competing organisations within one’s industry, can reap quality information on competitors’ strategies, market share, strengths, and weaknesses. More informed decisions can be made after such a study.
While more cost and time effective than primary research, secondary research is restricted by limitations. Data accuracy, specificity, and currency may be real concerns. Secondary information also rapidly becomes outdated in an ever-evolving business landscape.
Strategising What Works for You
While there is a multitude of research methods available to you, it is important to develop a research strategy that aligns with your organisation’s needs. Regardless of the scope of research required, large or small, online or in-person, Splash and Drips, an established consultancy and market research service, will be able to deliver on the insights needed. Get in touch and get ready to gain actionable insights today.
