Market research remains one of the most important components of a dynamic and complex process that supports growth and profitability in new businesses. Market research allows business owners to anticipate and minimize the inherent risks involved with operating in a specific market or niche. According to federal data, only about half of new businesses reach the five-year mark. To ensure long-term survival, business owners will have to develop a lucid discernment of market research, while paying attention to market research trends that can serve to assist in their efforts to enhance growth and profitability.
Maximizing Market Research as a Tool
It is important for business owners to take their marketing research seriously, so, if they are not confident that they can perform the necessary marketing research tasks, such as conducting consumer research, survey scripting, conducting market surveys, and a number of other responsibilities that are commonly performed by an experienced research analyst, they should probably hire a third-party service provider to conduct the research. There are a number of market research companies that are qualified to complete research on behalf of small and mid-sized businesses.
The key is to ensure that the data that is collected during the research is accurate, measurable and capable of being translated into best practices in the business.
For the business owner that is willing to take on the challenge of learning the process of market research on their own, there some significantly powerful market research tools, such as panel management software offered by Q One Tech that will assist in taking on the task of conducting market research. They provide
An experienced market research analyst will be able to gain an understanding of what a business owner is looking to accomplish, and they will be able to perform a market analysis that will assist in the development of strategies and plans that are designed for the purpose of anticipating and minimizing risks.
The Benefit of Comprehensive Market Research
According to a recent report by First Research, a Dun & Bradstreet subsidiary, the global market research industry is consistently growing, currently generating approximately $50 billion in annual revenue — emphasizing the importance of market research. When proper market research is done, it provides the necessary information that allows business owners to ask the right questions when developing growth strategies. It provides a portrait of what competitors are doing, and how the market is responding to what they are doing.
Equally important to understanding the movement of competitors is understanding the movement and responsiveness of the consumer. Traditionally, this type of research has been conducted through mechanisms such as consumer research, market surveys and the evaluation of existing data. However, the rapid expanse of the internet and social media platforms, such as Facebook, Twitter, Pinterest, Instagram and more, businesses have the opportunity to engage consumers in a direct manner that is considered to be non-intrusive. Because social media conditions the consumer to interact and respond to comments and questions, it provides the ideal situation for businesses and market research companies to engage the consumer in an open and non-intrusive manner.
Effective and proper market research can be the difference between a profitable business and one that hemorrhages cash. Survey research is essential to creating a good market research plan. Surveys are great tools in helping to gauge the mood and mindset of the target market, but it is important to have a seasoned market research analyst do the survey scripting to ensure that the right questions are asked during the survey research process.