Show There’s little doubt that profitable businesses have good products and services. But the case can be made that good decisions are actually the key to good — and sustainable — business practice. Knowing when and how to pivot course when needed is critical to maintaining relevancy in ever-changing markets, regardless of how great a product is or how helpful a service seems. Indeed, new technologies, economic instability, environmental concerns and, of course, consumer whim can quickly swing customer interest and need. Thus, the real advantage for companies to have is not necessarily just good products, but rather good information. Good data drives good decisions, allowing company leaders to effectively anticipate and respond to market demand. In this way, marketing research has become a crucial part of a successful business plan. Here’s how to start: The First Step in a Marketing Research PlanMarketing research is the process by which information about marketing conditions is gathered, organized, evaluated and used. Companies can either conduct their own marketing research, or they can hire someone to do it for them, and it always starts in the same way: defining the problem. How to Define the Marketing ProblemBefore any research can begin, a company must determine what it wants to learn. Only a clear understanding of the problem at hand permits the crafting of questions that plumb the depth of information a company needs to devise a workable solution to it. The first step in the marketing research process, then, is to establish a SMART objective. This should be a Specific, Measurable, Attainable, Relevant and Timely marketing goal that the organization wishes to achieve: to develop, to grow, to compare, to measure, etc. Part of identifying this objective is gathering background information. The company must review available literature and study examples from other companies and even its own history so that it is able to identify the marketing variables (such as pricing and promotions) impacting the suspected problem. This will help the organization recognize the potential impact of the factors affecting the problem and allow it to determine whether or not its objective is actually capable of being resolved. Here’s an example of a feasible research problem: To determine the effect of Product X pricing on consumer need. Ready to Learn More?Of course, identifying the problem is only the first step in the marketing research process. From there, organizations must carefully work through the development of a research methodology, the formulation of meaningful questions, the identification and contact of knowledgeable respondents, the gathering of information and the analysis and presentation of relevant data returns. It can be confusing, as well as time-consuming. An experienced and knowledgeable partner like our team here at Communications for Research (CFR) can help. If you are interested in conducting a marketing research project of your own, please contact us. We have over 20 years experience conducting research projects that deliver actionable insights.
The market research process involves researching your customers, competitors, industry and market environment. You can research each of these separately, and then combine the results to get an overall view of where your business fits in the market. Undertaking your own market research is generally more cost-effective than hiring someone else to do it for you. It can also help you build stronger relationships with your customers, and learn valuable market research skills and knowledge. However, conducting your own market research can be time-consuming and may require specialised skills to make informed judgements and objective recommendations. If you plan to conduct your own market research, consider these important steps. Making an initial investigationBefore you start researching your market, conduct an initial investigation to work out what kind of information you need and what is available and trustworthy. You need to check that you have enough sources to get useful information. If not, you may need to reconsider your market research objectives. Alternatively, you may find there is a lot of information already available to you, so you can reduce the scope of your research to save time and money. Planning your market researchYour initial investigation will help you work out what methods and sources you will need to use to meet your objectives. You may choose to combine different research approaches to gather the right information. You should also consider how much time and money you have to conduct your market research and if your staff will be able to help. This will allow you to work out how in-depth and comprehensive your research will be. It will also impact on the methods that you use. Collecting the dataOnce you have a clear plan for your research, you can start collecting data. Make sure you monitor your budget carefully as you go along – don't let your quest for information exceed your budget. To get the most out of your market research, make sure all the information you collect is as detailed and complete as possible. Incomplete data can produce misleading or irrelevant results. Processing the dataKeep your research objectives in mind when you process your data. Coming up with some practical ways to process the information and data you have uncovered will make it easier later on to reach conclusions. These may include:
Interpreting the dataInterpreting or analysing the results you have gained is a key step to getting the most from your market research. At this point you are aiming to get a thorough understanding of what your research is saying – you may get some unexpected results. Be open with your interpretation and try not to be influenced by your bias. As you review your information and start to interpret what it means for you, consider whether you have gathered enough data to give you conclusive results. You may need to do further research to reach a conclusion. Reaching conclusionsYour data analysis provides the basis for drawing conclusions. Ultimately, market research provides information that reduces risk and uncertainty and increases your chance of business success. The final conclusions should meet your initial objectives; consider what options you have discovered in your analysis to best meet your larger business objectives. To reach conclusions about your research:
Also consider...Defining the problem and research objectives is the first step involved in the marketing research process. Outline objectives and problems as part of the marketing research process
1. Exploratory research
The research design is a framework or blueprint for conducting the marketing research project. Describe the formulation of research design within the context of the marketing research process
A research design is a framework or blueprint for conducting the marketing research project. It details the procedures necessary for obtaining the required information, and its purpose is to design a study that will test the hypotheses of interest, determine possible answers to the research questions, and provide the information needed for decision making. Decisions are also made regarding what data should be obtained from the respondents (e,g,, by conducting a survey or an experiment). A questionnaire and sampling plan also are designed in order to select the most appropriate respondents for the study. The following steps are involved in formulating a research design:
Data collection is a crucial step in the research process because it enables the generation of insights that will influence the marketing strategy. Construct the rationale of field work or data collection from a marketing research process perspective
Data Analysis is an important step in the Marketing Research process where data is organized, reviewed, verified, and interpreted. Summarize the characteristics of data preparation and methodology of data analysis
During this phase of the research process, data is carefully edited, coded, transcribed, and verified in order for it to be properly analyzed. Statistical market research tools are used. The validity of the results is also assessed to confirm how well the data measures what it is supposed to measure. Oftentimes, the research team will arrange a debriefing session with the client to review highlights from the data and brainstorm potential ideas on how the findings can be implemented. This typically happens when a client hires a market research company and they want to remain thoroughly involved in the research process. Helpful tips to keep in mind during data analysis:
A successful presentation provides conclusions (based on the insights gathered) that effectively meet the objectives of the research. Identify the characteristics of preparing,presenting and documenting the results of marketing research
A successful presentation will include but is not limited to the following elements:
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