A Guide to the Six Types of Market Research and How to Use Them

Every business needs to understand its target market and what motivates them to make a purchase. Conducting market research is the best way to achieve this goal. Market research is the process of gathering and analyzing information about your target consumers. There are many different methods of market research. Each method has its own advantages and disadvantages. This blog looks at the six most common methods of market research and how to use them effectively.

1. Surveys

One of the most common methods for carrying out market research is surveys. Surveys can be used to collect data about a target market’s demographics, preferences, and opinions. Surveys are relatively easy to administer and can be used to reach a large number of people. However, surveys are often criticized for being biased and not providing accurate data.

How To Use It:

To effectively use surveys, businesses should make sure to use an unbiased sample. They should ask questions that are clear and concise. They should also be sure to ask follow-up questions to get more detailed information.

2. Focus Groups

Focus groups are another commonly used method of market research. Focus groups are small groups of people who are brought together to talk about a product or service. Focus groups are useful for collecting qualitative data about how people feel about a product or service. They can also be used to develop ideas for products or services. However, focus groups can be difficult, expensive, and time-consuming to set up and carry out.

Thus, it is recommended to be abreast with the best practices for conducting focus group discussions. Businesses can refer to various resources, such as blogs and articles, shared by marketing research experts on marketing research platforms like Quirks. This will help them get professional insights into how to carry out focus group discussions effectively. This, in turn, will ensure that they are able to generate accurate and reliable data that can be used for making sound marketing decisions.  Multiple focus groups can be deployed to understand the gap between what is offered and what the customer ultimately wants.

How To Use It:

To use focus groups, businesses should make sure to select a diverse group of people and ask open-ended questions. They should also be sure to give participants enough time to discuss the topic at hand.  If it is a product that you seek feedback for, the focus group should be willing to test the same and provide their comments.

3. Interviews

Interviews are one-on-one, direct conversations between a researcher and a respondent. Interviews are useful for collecting detailed information about a respondent’s thoughts and opinions. They can be carried out in person or over the phone, or via video calls.

Moreover, interviews can be either structured or unstructured. Structured interviews are those in which the questions are predetermined, and the interviewer does not deviate from the script. On the other hand, unstructured interviews are more flexible and allow the interviewer to ask follow-up questions. Of the two, unstructured interviews are generally more effective at collecting detailed information.

How To Use It:

To effectively use interviews, businesses should make sure to select a diverse group of people and ask both open-ended and closed-ended questions. They should also be sure to give respondents enough time to answer each question thoroughly. Additionally, businesses should consider using a mix of both structured and unstructured interviews to get the most accurate data.

4. Observation

Observation is another common method of market research that is often used in retail settings. Observation involves observing customers as they shop and interact with a product or service. Observation can be useful for understanding customer behavior and then using that information to improve the customer experience.

For example, a business might use observation to understand why customers are not buying a certain product. They might then use that information to make changes to the product or to the way it is displayed.

How To Use It:

To use observation, businesses should make sure to observe customers for a long enough period of time to get accurate data. They should also be sure to take note of both verbal and nonverbal cues. Additionally, businesses should consider using both qualitative and quantitative data to get a complete picture of customer behavior.

5. Competitive Analysis

Competitive analysis is a method of market research that involves analyzing the strategies of your competitors. Competitive analysis can be useful for understanding what strategies are working well for your competitors and then adapting those strategies for your own business.

Competitive analysis can be conducted in a number of ways. One way is to simply observe your competitors’ behavior. This can be done by visiting their stores or websites and taking note of their strategies.

Another way to conduct a competitive analysis is to interview your competitors’ customers. This can be done by surveying or conducting interviews with people who have used your competitor’s products or services.

How To Use It:

To effectively use competitive analysis, businesses should make sure to analyze a wide variety of competitors. They should also be sure to use both primary and secondary data sources. Primary data sources are those that come directly from the competitors themselves. Secondary data sources are those that come from third-party sources, such as research reports.

Additionally, businesses should consider using both qualitative and quantitative data to get a complete picture of the competitive landscape.

6. Social Media Research

Social media research is a method of market research that involves using social media to collect data. In today’s age, social media is one of the most popular and effective ways to reach out to customers. As such, it can be a powerful tool for market research. Social media research can be useful for understanding customer behavior in an easy and cost-effective way.

Social media research is relatively simple to conduct. To do it, businesses simply need to create a survey and then post it on their social media accounts. They can also use social media to ask customers for feedback on a product or service.

How To Use It:

To use social media research, businesses should make sure to create engaging surveys. They should also be sure to post their surveys on a variety of social media platforms. This will help to ensure that they reach a wide audience.

Parting Thoughts

Market research is an effective tool that can be used to understand customer behavior and improve marketing strategies. There are a variety of methods that businesses can use to collect data, such as the ones mentioned above. The key is to choose the right method for your business and to use it effectively. It will definitely bring a lot of benefits and advantages for the business in the long run.  A well-researched service or product makes the customer its focus and makes all efforts to provide the best and is always a success.