Today, you need to know exactly what to do in order to enter any business in the world, but you also need to have a deep understanding of the business market. This recognition is possible through market research.
Marketing research is "the process or set of processes that links the producers, customers, and end users to the marketer through information used to identify and define marketing opportunities and problems; generate, refine, and evaluate marketing actions; monitor marketing performance; and improve understanding of marketing as a process.
In other words, Market Research is the process of collecting, analyzing, and interpreting information about the market and the current, past, or potential customers of a product or service. This research focuses on the characteristics, habit of consumption, location and needs of your target market, as well as the characteristics of the competitors and the industry in which you are active.
Market research helps business owners check the feasibility, before using their resources in a business.
Strategies such as market segmentation (dividing people in a market into multiple groups) and branding and product differentiation (giving identity to a product to create distinctions with competitors' products) are not possible without market research. In this case, market research can help the customers develop a better marketing plan by looking at the market more deeply.
Types of market research
Primary Research: The primary purpose of the research is to collect information using current sales analysis and effectiveness of current practices. Also in primary research, competitors' plans are taken into account. Primary research information can be obtained in the following ways:
• Interview (phone or face-to-face)
• Data collection
• questionnaire
• Formation of focused groups, consisting of potential customers or current customers and receiving direct feedback.
Some of the important questions at this stage are as follows:
• What factors do you consider when buying this product or service?
• What do you like or do not like about the products and services in the market?
• What are your suggestions for product improvement?
• What is the price for this product or service?
Secondary Research: The purpose of the secondary research is to analyze the information that has already been published. You can identify competitors by using secondary information, identify indicators and criteria, and identify your target areas. Your target sectors are people who are within your desired range of statistics, that is, people who have a particular lifestyle or specific behavior patterns or are in a specific age group. Referring to the work of others does not give you the correct idea. Of course, this is an important point to start, but the information you get from secondary research may be outdated and may lose the opportunity to use other factors that are relevant to your business.
As you use common search engines for data collection, you only get information that is publicly available and may not be completely correct. To do more research in your budget, use resources from local libraries, universities, or small business consulting centers.
No business can succeed without knowing its customers, its products and services, and the market in general. Competition is cruel and performance without research may create competitive advantage for your rivals.